The unit, originally designed for retail use, has stood empty for 18 months despite the efforts of developers Barnfield Contruction to find a tenant.

A report to the meeting of Pendle Council's Nelson Committee said there had been "absolutely no takers" for it and company representative Mark Taylforth said a financial company now wanted to subdivide the unit for part retail and part office use.

He said that if permission was granted, the company - Financial and Professional Services - was "99% certain" to move in.

Coun. Sonia Robinson said the economic situation had changed drastically since building work started. "Businesses are struggling and compromises will have to be made. Retail use will have to be divided up."

But Coun. Mohammed Sakib said: "There is so much retail space available. Why do we need to create some more?"

Coun. Sheena Dunn argued the unit was a prime retail site and should be retained as such.

Officers had recommended the change of use be approved, but members voted to refuse the application by seven votes to six and the matter will be referred to the council's Development Control Committee.