Traditional corner shops could vanish from the area if the progress of supermarket giants remains unchecked, according to a local MP.

Greg Mulholland says that action needs to be taken by Parliament to prevent local businesses being driven out by the so called "big four" supermarkets, Bradford-based WH Morrisons among them.

Mr Mulholland, MP for Leeds North-West, is a member of the All-party Small Shops Group, which is investigating the effects the large supermarket chains are having on local traders.

The group is expected to produce a report at the end of the month, outlining a series of recommendations to Parliament to halt the decline of the corner shop.

Mr Mulholland said: "One of the conclusions of the report is that we can expect to see a huge reduction in local shops if we carry on this way.

"As a society we are losing small traders at a rate of 2,000 a year.

"The loss of small shops will mean less diversity and choice for shoppers and people want to have this diversity, rather than having to always go to out-of-town supermarkets. The big four often operate predatory tactics, retailing goods at less than cost price simply to drive out the competition.

"Local shops benefit the area as any profits they make tend to be ploughed back into the local economy, whereas profits from the big four merely go to the shareholders."

Mr Mulholland said he hoped Parliament would act swiftly to help redress the plight of local traders.

"I think planning is an issue as often supermarkets seem to be granted planning permission very easily. Also we have to look at the supply issue. Many farmers in my constituency have been very upset at having to sell quality local products at disgraceful prices."

The news comes at a time when the Office of Fair Trading is conducting a separate inquiry on supermarkets effects on smaller retailers.

The OFT told the Telegraph & Argus that they intended to announce their findings in April and confirmed that they had the option of referring the issue to the Competition Commission for a full inquiry.

Morrisons declined to comment on the issue until ministers published their official findings.