Epping Forest District Council has been denied the chance to appeal a ruling in the Supreme Court over asylum seekers being housed at The Bell Hotel.
The Court of Appeal on Tuesday refused the application of the local authority in Essex to appeal to the higher court over its decision to continue to allow it to be used as a migrant hotel.
Last month, the council obtained a temporary injunction from the High Court which would have forced 138 asylum seekers to leave by September 12.
However, the Court of Appeal overturned the ruling last week following a successful request by the Home Office.
The council confirmed on Monday it had taken the next steps to appeal the decision with a request to appeal to the Supreme Court.
In a statement, the council said: "no reasons were given” for the refusal of its application.
“It is now open for the council to ask the Supreme Court itself for permission to appeal against the judgment of the Court of Appeal,” it added.
"The council has consistently opposed the use of The Bell Hotel to place asylum-seekers, which is in breach of planning control and is against the interests of those living in, working in and using the area."
Conservative council leader Chris Whitbread commented: "We believe the Court of Appeal decision to overturn the interim injunction for the closure of the Bell Hotel was wrong.
"The Court of Appeal judges appear to have placed the (home secretary Yvette Cooper’s) duties towards asylum seekers above those of the council to uphold the planning system."
He insisted that this is "not the end of the matter", adding: "We consider we have a strong case for a final injunction. The final injunction hearing is expected to be heard some time in early October."
On Friday, Reform UK leader Nigel Farage said the judgement proved that migrants had "more rights than the British people under [Keir] Starmer".
Tory leader Kemi Badenoch said it "puts the rights of illegal immigrants above the rights of the British people".
But Border Security and Asylum Minister Dame Angela Eagle said the judgement would assist the government in ending the use of hotels in a "planned and orderly fashion".
Multiple demonstrations were held outside three-star establishment over the summer, leading to multiple arrests and large counter-demonstrations.
It came after an Ethiopian resident, who arrived in Britain via small boat, was arrested in July following numerous alleged sexual offences.
Hadush Gerberslasie Kebatu, 38, was charged with three counts of sexual assault, one count of inciting a girl to engage in sexual activity, and one count of harassment without violence. He denies any wrongdoing and is on trial.
Discussing the protests, Mr Whitbread said: "The people of Epping are under great strain. As schools return this week, I appeal to the protest organisers to show restraint and give our families and children some much-needed respite."
