Island supermarket Tesco has failed in its bid to expand its Douglas store.
The Council of Ministers has agreed with an independent inspector that the application be refused due to traffic issues.
It was felt Tesco had failed to show it could accommodate the extra traffic such an expansion would generate.
Chairman of the Chamber of Commerce’s Retail Committee, Steve Bradley, believes common sense has prevailed.
Although an independent inquiry also ruled the location and scale of the proposed development was unsuitable, the Council of Ministers said refusal on those grounds would be premature.