An enormous £80m shopping and housing development in New Addington could threaten the livelihood of existing traders, critics say.

The plan is the biggest investment in New Addington since its conception according to Andrew Harris from Tesco, the supermarket giant behind the redevelopment of the site in Central Parade.

But Ken Sherwood, Croydon Enterprise district centre manager for the area, admitted the plans posed a "real challenge" for current traders.

He said: "From my point of view I'm pleased it is at last progressing as we seem to have been talking about it for a long time.

"It's going to be a challenge for existing traders and there will be some big competition.

"There are obviously concerns but we're working hard and doing as much as we can.

"It won't be easy but if we can get 10 per cent of shoppers across the high street to the other traders they will be okay."

Tesco has been charged with reinventing New Addington with new community and leisure facilities, more than 250 new homes and at its heart a Tesco store.

Mr Harris added: "This development will breathe new life into the area.

"We will replace the old facilities with a modern unified complex."

The proposals were not without concern at the Croydon Council planning committee on Thursday, June 19.

Councillor Brian Cakebread, of Coulsdon West ward, was worried the Tesco would alienate the rest of the town and create a divide between the two sides of the parade.

And Councillor Shafi Khan, of Norbury ward, went so far as to recommend declining the application, calling it "unimpressive" and that "we could do much better".

After almost an hour of presentations and debate, the application was approved by the committee.

The development will include a new library and a leisure centre to replace the old swimming pool, along with a community centre.

Following the desire for a community hub, there will also be a business opportunity centre and a health centre.

The 251 residential properties will include 75 affordable properties and the adjacent car park will hold 509 spaces.

The Tesco store and other smaller retail units planned will create 350 jobs for local long-term unemployed.