Southwark Council has pledged to fight the ‘bizarre’ government decision to block a compulsory purchase order (CPO) on Aylesbury Estate.

Local government minister, Sajid Javid, has rejected the council’s bid to force the eight remaining residents on the estate to sell their flats to allow a regeneration scheme to get underway.

Mr Javid said the CPO would breach the human rights of the residents as they would be forced to use their savings to buy a new property elsewhere.

However, the council said it would challenge the decision in court as it was based on an outdated report.

Cllr Peter John, leader of Southwark Council, said: 'This decision puts Southwark and all councils who are trying to build new homes for our residents between a rock and hard place.

‘We can either fight this decision or scrap our plans to regenerate the Aylesbury estate, leaving the hopes and dreams of thousands of local people in tatters. I’m not willing to do that, which is why we will take court action if necessary to try to overturn this bizarre decision.’

Cllr John argued the decision would jeopardise plans for 800 new homes, and that the eight residents have been offered a new home in the same area, rent-free.