A major £200m mixed-use scheme proposed for Liverpool's Edge Lane Central area is set to go ahead after the government said it would not call in the project.

Government Office for the North West confirmed that it would not intervene in the planned redevelopment, which will include 600,000sq ft (55,742sq m) leisure and retail space. It is hoped that work will now start on the scheme in mid-2011 following the government's announcement, which follows Liverpool City Council's (LCC) approval in December.

A new community park will also be created on the former Robinson Willey site under plans for the scheme, which is being led by Derwent Holdings, LCC and Liverpool Vision. Planning consultancy DPP; architects AEW; quantity surveyors KFM; Roc Consulting; and Sanderson Associates are also working on the Edge Lane Central scheme.

DPP partner John Francis said: "This is a very significant step towards securing the future regeneration of an important area in Liverpool. "The decision represents the culmination of many months of close working and liaison with Liverpool Vision and the officers and members of the city council, and intense negotiation with the key stakeholders."