The Tory leader urged Lancashire's business and council leaders to issue reward cards to encourage shoppers to stay loyal to their local stores.

And, he pledged to retain rules which are supposed to safeguard Britain's historic town centres from the spread of supermarket giants.

His comments are in direct contrast to Labour's John Hutton who, in one of his last acts as Business Secretary beore last week's reshuffle, told us that consumer choice and markets will dictate the success of local businesses – not new laws or Whitehall red tape.

The Federation of Small Businesses (FSB) warns that the traditional English high street is losing 2,000 shops a year and that 40% of all high street bank branches have shut since 1996.

They stress that 50% of the turnover of an average small business is spent within their local community, compared to just 5% for a supermarket.

Mr Cameron said safeguarding diverse high streets is crucial for "quality of life".

He said: "I have a lot of sympathy with this. I do worry about the identikit high street and our towns and villages losing their character."

Mr Cameron said a future Tory government would retain the so-called "needs test", which limits out-of-town stores.

The 'needs test', introduced by the Tories in 1996, forced large supermarkets to prove there is a 'need' for large new retail parks before development can go ahead.

However, a White Paper unveiled by then Communities Secretary Ruth Kelly last year proposed scrapping the test but promised to protect the 'vitality' of town centres.

Mr Cameron said: "We must keep the needs test for supermarkets so that local councils are able at least to apply a needs test.

"The Government wants to get rid of it and I think more out-of-town shopping will just lead to further identikit-cation of our high streets."

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