The Christmas Carnival at Newbury Racecourse will go ahead.
The event, with big top shows, a fairground, ice rink and market, will run for 28 days.
West Berkshire Council approved the plans – despite many objections from people living at the racecourse claiming it would cause traffic problems, noise and antisocial behaviour.
Nearly 1,500 people signed a petition to support the carnival after initial plans for an annual event for five years at the racecourse were rejected.
The proposal was considered to be ‘a step too far’ and ‘ill thought out’ according to councillors, who felt the impact on residents at the racecourse was too much.
The new application was given the green light by council officers as fewer than ten objections to the new application were lodged.
It is for one event, which can only run for 28 days, including a market which can only run for 14 days.
But residents who have written in to the council to object say this is a stealth tactic to get the event run every year.
The Newbury Racecourse Estate Association said in its original objection that no consideration had been given to “the effect on their quality of life or on their multi-million-pound capital investment in their apartments”.
They further claimed the funfair, complete with Santa’s grotto and a mystery forest walk, will create noise and light pollution, causing sleep deprivation for at least 15 per cent of the year.