The European Court of Justice has said restrictions imposed by the Spanish government on the building of hypermarkets in Catalonia are illegal, a ruling that could have implications for restrictive planning processes throughout Europe.

The EU’s senior court said blocks imposed by the Spanish government on building hypermarkets in Catalonia broke Spain’s commitments under EU treaties on the freedom of establishment.

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The restrictions, for instance, banned hypermarkets being opened on the outskirts of certain towns and stipulated that new hypermarkets could not sell more than 9% of staple food supplies in their localities.

Through these rules, Spain “has failed to fulfil its obligations” under EU law, said the court.

The ruling sets a precedent across the EU, and could allow food retailers to challenge similar national planning restrictions elsewhere.

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