This just in from the developers:
After nearly two and half years of discussions with Planning Officers, regrettably, the team reached an impasse on daylight sunlight impacts. This was the only issue, but Officers advised that they would be unable to support the proposal unless the scheme was substantially reduced, which rendered the development completely unviable. The use of the site will therefore remain as a petrol filling station, with 20 years remaining on the current lease. A situation we all wanted to avoid.
Cllr Jon Davies