Bee Bee Developments lodged an appeal over non-determination of its application to Wellingborough Borough Council. The 3,000- home scheme also includes 2,600m2 of retail space and 7ha of employment land.
The council felt that existing infrastructure is insufficient to support the project. It has already given consent to a 3,100-home extension to the east at Stanton Cross that is yet to come forward.
Leader John Bailey said: "I am disappointed that the secretary of state has not recognised our concerns. We will be urging the government to ensure that we get the right level of infrastructure to accommodate this growth."