A grandmother has claimed victory in a High Court test case battle against the controversial Government-led Pathfinder urban regeneration project, which involves the demolition of thousands of homes.
Elizabeth Pascoe, 59, faced being forced to move from her Liverpool home by a compulsory purchase order (CPO) made under the Pathfinder initiative.
But on Wednesday her solicitor, Phil Shiner, said a judge had overturned the CPO and declared that English Partnerships, the acquiring authority, had acted outside its powers.
Mr Justice Forbes, sitting at the High Court in London, also ruled that Mrs Pascoe's right to private and family life under Article 8 of the European Convention on Human Rights had been violated by the order.
Mr Shiner, of Public Interest Lawyers, said: "This was a test case, which means that this victory will benefit people across the country who are affected by the Pathfinder scheme."
Ms Pascoe challenged the CPO granted to English Partnerships to acquire and demolish 500 homes at Edge Lane West in Liverpool for a new road scheme into the city centre and new housing.
It was the first in a series of CPOs planned by the Urban Regeneration Agency for deprived inner city areas.
The Edge Lane scheme was described as "social cleansing" by Jane Kennedy, the local Labour MP, at the public inquiry that approved the plans.
On Wednesday Mr Shiner commented: "The judge has said that the Government cannot bend its own rules to deprive people of homes that are perfectly fine.
"The Government must now rethink its approach to urban regeneration and come up with an approach which is just."