BRITAIN’S fracking industry faces a setback after a court ruled this week that local councils have the right to make decisions that limit the controversial process in their areas.

The ruling came at London’s Royal Courts of Justice, where Mr Justice Holgate ruled that local councils can establish their own limits.

He ruled that a recent ministerial statement giving councils guidance on fracking limitations is only “advisory.”

But he refused to grant a judicial review into the ministerial guidance.

Drilling is taking place in rural North Yorkshire at Kirby Misperton, near Pickering, in advance of gas extraction through the use of high-pressure water and chemicals to shatter underground layers of shale rock.

North Yorkshire public authorities have drawn up a “Minerals Plan” limiting mineral extraction in the county.

Councillor Paul Andrews, mayor of nearby Malton, took the case to the Royal Courts of Justice on Monday.

He said after the hearing he was “delighted” that local authorities could disregard government planning guidance on issues such as the definition of fracking provided there was sufficient justification.

Steve Mason, of campaign group Frack Free United, said: “We may not have won the case, but we won a very important concession from the judge. Local authorities can now set their own definitions of fracking.

“The North Yorkshire local authorities can stand by their plan and put it into action, even though it does not comply with the government’s very restrictive definition. We would encourage other mineral authorities to look to North Yorkshire as a template.”

The Kirby Misperton drilling site has been targeted for anti-fracking protests.