A PLAN to ban fast-food take-aways near schools is “short-sighted” and will damage the local economy, according a major high street pizza chain.

Domino’s Pizza says the plan discriminates against small independent businesses and delivery services, while failing to restrict fast-food giants such as McDonald’s and KFC because they fall into a different planning category.

Domino’s hoped to expand in Waltham Forest, creating 25-35 jobs per shop, and says that the borough’s intention to restrict the number of take-away shops near schools, parks and youth centres could damage the local economy at a time when businesses are struggling.

The company fears that the proposal will be adopted by other councils and seriously damage the company’s future prospects.

Business development director Andrew Emmerson said: “It will gradually reduce our ability to expand, which in the current jobs market seems ridiculous.

“Restricting where we can and cannot open stores won’t solve the problem.

“No- one can argue about the problems of obesity, but will their policy make any difference? In our view, it won’t.”

Domino’s have submitted a four-page response to the council’s proposal, which argues that the company does not target children because the average spend by customers is £6, above the lunch money allowance, and on average customers order from them once every 37 days.

The response says: “We do not believe that general health is an issue for planning and the nation’s problem with obesity owes a lot to poor education and a lack of personal responsibility and not to the location of hot food take-aways.

“We are still opening stores in the current downturn, including where many stores are empty.

“We find it hard to believe that any local authority would prefer empty shells, which attract billposting and anti-social behaviour, to a thriving business.

“We feel that the restrictions are short-sighted.”

Waltham Forest Council argues the plan to restrict outlets such as fried chicken and kebab shops will also tackle the problem of street litter.

However, a Keep Britain Tidy litter survey revealed that most litter orginated in McDonald’s and Greggs bakery.

Almost 300 residents responded to a council consultation and the vast majority supported the plans.

Council leader Clyde Loakes told the Guardian: “The majority of these problems, such as litter and anti-social behaviour do not normally relate to restaurants.

“It is important to remember that establishments such as McDonalds are assessed under a combined category and would be subject to the requirements of the proposed policy.

“We think the best thing we can do for our local economy is to provide a wide mix of shops and restaurants.”