THE shop which housed HeadleyÕs post office is unviable as a business and will be allowed to be converted into a flat, an independent planning inspector has ruled.

And the inspector Richard Merelie has added that demands from local councils that exhaustive marketing options must be undertakenin such cases are ÒunreasonableÓ.

Recently Mr Merelie heard heated and emotional debate about The Gateway Buttery at a planning inquiry which determined the future of the now redundant shop and post office.

The owners of the Buttery were refused planning permission by East Hampshire District Council to convert the shop into a self-contained flat after a down-turn in trade made it unviable as a business.

The refusal came after councillors overturned the recommendation of their own planning officers after hearing that Headley Parish Council was deeply opposed to the plans believing that the shop had not been marketed extensively or long enough.

But Mr Merelie overturned that decision and granted planning permission.

In his report the inspector said that the conversion would Òenhance the appearanceÓ of the High Street and would be a positive step in protecting the local conservation area.

At the inquiry EHDC, with the assistance of Headley Parish Council, put forward a case to argue that the applicants had not exhausted all options when it came to marketing the ailing shop.

The inquiry had heard that efforts were not made to sell the shop with accommodation, divide the shop into two smaller units or a range of other options before attempting the more profitable option of converting the shop into a flat.

Mr Merelie said in his report that the district council has policies in place to help protect the loss of village shops which are seen as vital community facilities.

ÒIt makes it clear that that importance of village shops to the community will be taken into account when considering proposals for changing existing shops into dwellings,Ó the report says.

However he adds that the criteria allowing the redevelopment of shops had been met and that EHDC and the parish council were being ÒunreasonableÓ in expecting the shopÕs owners, Roger and Lynda Butcher, to do anything more than comply with the councilÕs policy and subsequently embark on extra marketing efforts.

ÒThere is no evidence policy foundation to require the shop to be marketed with on-site residential accommodation or to suggest for how long properties should be marketed.Ó

Explaining the reasons for the shopÕs failure, Mr Merelie accepted the appellantsÕ augments that the villageÕs residents had stopped going to The Buttery and were now shopping in supermarkets in Liphook, Bordon and Haslemere.

His report says: ÒThe appellants explained how, after running the business for nearly 17 years, the decline in local support, competition from supermarkets in the wider area and the closure of the butchers and bank in Headley itself all had a negative impact on trade.

ÒThe difficulties had been compounded by the governmentÕs changes to the Post office system. There had been five employees reduced to one. But in the end the business ran at a loss.

ÒAnd now another supermarket, Tescos, was due to open in July at Bordon.

ÒIn response the appellant had tried a number of ventures to claw back custom, including an off licence, a delicatessen, the lottery, a video library, free range eggs and other local produce.

ÒFresh bread and sandwiches were available up to the date the shop closed. And they had tried extending the opening hours into the evenings.

ÒIt seems to me that it was not for the lack of trying on the part of the appellants that the business became unviable.Ó