An all-night grocery store's controversial application for an alcohol licence has been rejected.

Jennifer's Shop in St James's Street, Brighton, wanted to serve drinks for consumption off the premises 24 hours a day.

But the bid was turned down by Brighton and Hove City Council on the grounds that it would increase crime and disorder and create a public nuisance.

The store is on one of Brighton's busiest thoroughfares and in the heart of its gay district. Its owners plan to appeal to magistrates.

Before new licensing laws Jennifer's Shop was able to sell bulk quantities of alcohol through the Licensing Act 1964, which allowed wholesale without a licence. The store has not sold alcohol since the Licensing Act 2003 came into effect on November 24. It wanted to be able to sell small quantities during the day and crates of wine or beer from 10pm to 10am.

There were 13 objections from residents, the police, ward councillor Simon Burgess, the Broad Street Residents' Association and The Kingscliffe Society.

A petition of 2,144 signatures of support, collected by shop staff from customers, was not taken into account because most did not live in the vicinity. The committee said the wording left it unclear as to how it related to the application.

The panel was told that residents were frequently kept awake by large groups of drunken people.

Janie Thomas, secretary of The Kingscliffe Society, and Wendy Henderson, whose homes overlook the premises, said there was frequent disturbance.

Chief Inspector Steve Barry, district commander for central Brighton, said police were cracking down on street drinking. He said: "St James's Street is the last place we want to start losing that fight."

Nigel Liddell, police licensing officer, said Jennifer's was a "badly run establishment with a history of crime and disorder".

Jennifer Balsham from the shop argued the store had eight CCTV cameras, always had three members of staff on the premises and was willing to sign up to strict conditions. Following the decision Mrs Balsham said she would probably appeal. She said: "I think it went against the evidence."