Big supermarket chains including Morrisons should be prevented from staging mergers and takeovers, it is claimed.

That's one of the recommendations in a report issued to Parliament today which looks at the effects of superstores on smaller shops.

The report, called High Street Britain: 2015, advised a temporary restriction be placed on the UK's four big supermarket companies including Bradford-based Morrisons to prevent new mergers and takeovers until a the Government produces plans for a more balanced economy.

And the investigation, which was conducted by the All-party Small Shops Group, of which Otley MP Greg Mulholland (Lib Dem, Leeds NorthWest) is a member, also advocated more planning power to local authorities and suggested all councils adopt a retail strategy.

The group recommended the Government employ a retail regulator to oversee the supermarket freeze, investigate both food and non-food retail and provide support to local authorities in developing the retail strategy.

The suggestions were put to Parliament today in a bid to prevent the decline of small shops and businesses, which might be made extinct by 2015 if supermarket competition does not curtail.

During research Mr Mulholland consulted with Otley Chamber of Trade and Commerce to find out how the town's independent retailers were affected by larger stores. Chairman David Gagen said he hoped the recommendations would be taken on board by the Government.

"Certainly any Government legislation curtailing the expansion is to be recommended. Managing a better balance without some legislation would be very difficult," he said.

Val Summerscales, secretary of the Bradford District Chamber of Trade, said the report should be taken with a pinch of salt. She said creating a sustainable balance between independent businesses and supermarkets would be very difficult, especially if sweeping rules were set rather than individual circumstances considered.

And she said other elements were also threatening the diversity of local trade.

"In some area the Post Offices have closed. That in itself also has an adverse impact in the high street because where people collect their money they also spend their money," she said. A spokesman for Morrisons declined to comment. In April the Office of Fair Trading (OFT) will reveal the results of a similar inquiry into the affect of supermarkets on smaller retailers.

As previously reported in the Telegraph & Argus, the OFT said they had the option of referring the issue to the Competition Commission for a full inquiry.