Philip Gumuchdjian's Tate Tower has been given the green light after the House of Lords rejected a last-ditch bid to challenge the controversial London skyscraper.
South Bank residents had hoped that the Lords would overturn an earlier decision by the Court of Appeal to back the 20-storey building, developed by London Land.
However, Law Lords Steyn, Scott and Walker upheld the earlier permission granted by deputy prime minister John Prescott in October 2002. Prescott had previously stepped in after the scheme was refused planning permission.
But objectors, including Tate director Nicholas Serota, believe that the tower will cast shadows over the surrounding properties, including the Tate Modern.
There are also claims that loss of privacy and light could lead to property values plummeting by almost £50,000 in the nearby Bankside Lofts apartment block.