Ministers have rejected calls from Robbie Moore MP to review a decision allowing 138 houses to be built off Bolton Road in Silsden.
There was strong local opposition to the proposals for the development by Persimmon Homes in the town, with 800 objections as part of the planning process.
But the plans were given the go-ahead by Bradford Council in November.
Shortly afterwards, the Keighley & Ilkley MP Robbie Moore wrote to the Department for Levelling Up, Housing and Communities to highlight the opposition from Silsden residents, as well as the strain the development would put on the town's infrastructure.
The government has now responded and says it will not interfere with the decision by Bradford Council.
Secretary of State, Michael Gove, writes in his letter back to Mr Moore: "The Government is committed to give more power to councils and communities to make their own decisions on planning issues and believes planning decisions should be made at the local level wherever possible.
The letter adds that the general approach is "not to interfere with the decision-making process of local councils on planning matters". It adds: "The Government's position is that these matters are generally best determined locally, by local councils…rather than by central Government."
Robbie Moore MP said: "I will never stop fighting to protect Silsden’s infrastructure and local services, which are already under immense strain.
"The town simply cannot cope with the barrage of new housing developments being unleashed on our area by Bradford Council, and residents are quite rightly fed up of council officials bulldozing through huge local opposition time and time again.
"The government’s decision not to review these plans rests on the principle that local councils 'know best'. Unfortunately, this has not been the case for our local council, which consistently acts against the interests of Silsden residents."
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