A BID to create Kensington and Chelsea's biggest nightclub has hit the rails after planners rejected an expansion scheme.

Last month, Kensington and Chelsea Council granted Crazy Larry's, in Lots Road, a licence to entertain up to 700 revellers each night.That was despite concerns from 158 angry petitioners from the surrounding Cremorne area, who were worried about noise from drunken revellers.

But the council's planning department has now rejected the club's £1.5m bid to move to the basement of its current premises, due to the potential loss of retail space and transport and noise concerns.

Councillor Mark Daley, who has campaigned against the expansion, said: "I'm very pleased. I thought it was an irresponsible move."

Crazy Larry's can now appeal to the Secretary of State to challenge the decision.

Councillor Daley, who is prepared to fight against the proposal if it reaches a government planning inquiry, said: "I think this is going to be quite a long-running issue."