Plans to ban traffic from part of Oxford Street may save the area from “going backwards” and ensure the survival of flagship stores, Sadiq Khan has said.

The London Mayor visited the John Lewis store in Oxford Street alongside Deputy Prime Minister Angela Rayner on Tuesday afternoon to announce the proposal to pedestrianise a 0.7-mile stretch of the popular shopping district.

Speaking on the rooftop, Mr Khan said the famous destination had seen a recent decline as a result of the closure of major stores and competition from online shopping and out-of-town retail centres.

“There’s a very good reason why the retailers here, John Lewis and many others, welcome and support our plans, because they recognise these plans will lead to the street being transformed, but also lead to their survival and their prosperity,” he said.

“You’ve seen the street going backward and if we’re not careful, very soon, even the very few flagship stores we have may well leave.”

The mayor said “a number of things have changed” since his previous plan to pedestrianise the street was blocked by Westminster City Council in 2018, including the opening of the Elizabeth line and the election of a “pro-business, pro-growth” Labour Government.

“I’m a great believer in ‘if at first you don’t succeed, try and try again’,” he added.

Mr Khan’s latest proposal depends on him obtaining permission from Ms Rayner in her role as Secretary of State for Housing, Communities and Local Government to establish a new mayoral development corporation which would provide planning powers.

In a statement, Ms Rayner said the plans, estimated to cost around £150 million, would give the shopping district the “boost it needs”.

Westminster City Council chief executive Stuart Love said the authority has worked with businesses and residents’ groups over the last two years to develop a “shovel-ready” plan to improve Oxford Street without pedestrianisation.

In a statement, Mr Love said Mr Khan’s proposal had only been shared with the council on Thursday and it was “important” for the authority to receive further details regarding the plans, delivery time and how concerns of street users and local residents will be addressed.

He added: “The council intends to work constructively with the mayor and the Government to ensure the best outcomes for local communities, businesses and London.”

During his visit, Mr Khan also addressed concerns raised by some shoppers that the plans would prevent those with mobility issues from using the street.

One shopper, Richard Lycett, 70, said current traffic restrictions, including the removal of bus stops near Selfridges, meant it was “a lot of work” to get around the area and that taxis and buses were “fundamental” for travelling in the city.

Mr Khan said he would work “really closely” with disability groups, residents and visitors to ensure their concerns were addressed, including ensuring taxi and bus drop-off points were “as near as possible” to the pedestrianised area.

He concluded by saying the plans were not about his personal legacy but were “about shaping our future, and that’s what I intend to do”.

Restrictions already in place mean vehicular access to parts of Oxford Street is limited to taxis and buses between 7am and 7pm, except on Sundays.

The road is one of the world’s busiest shopping areas, attracting around half a million visitors each day.