A government inspector's recommendation that the district's planning blueprint should include a relief road east of Otley has been welcomed by the town's MP.
The road, which would cost £2.3 million and be paid for privately as part of a scheme including housing and commercial developments, has been included in a copy of the inspector's advanced comments on Leeds' Unitary Development Plan.
Harold Best, MP for Leeds North West, said: "The unnecessary congestion and fumes will be taken out of the town centre and the centre of Otley will be opened to people-friendly development, including strengthening the market and shopping facilities.''
The road would make access to Wharfedale General Hospital easier for patients, staff, visitors and emergency vehicles if it stayed in the town.
Coun Phil Coyne (Lab, Otley and Wharfedale), chairman of the Otley Town Partnership, said: "Otley's basically got a medieval street plan and a large amount of east-west traffic going through the town centre which generates a lot of pollution and considerable congestion.
"I'm fully aware there would be an environmental cost but it's sorely needed to remove traffic from the town centre.''
Tonia Hearne, president of Otley and District Chamber of Trade and Commerce, said she had ''mixed feelings'' about the issue.
"Otley is very congested with enormous lorries so if it comes off it would be very welcome,'' she added.
She believed the road would boost trade by making Otley a nicer place to visit with easier parking. But she did not believe the road was worth the cost of building scores of new homes to the east of Otley.
A spokesman for Leeds City Council said: "The proposals for a relief road are inextricably linked to the proposed housing and employment allocation for this part of Otley which the Council also put forward in the UDP. Currently it is agreed the developer would pay for the road and that its implementation will be directly linked to housing development in the east of Otley.
"Before matters can proceed the Council needs to receive the independent planning inspectors' report in its entirety.''
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