A Roman Catholic adoption charity's appeal to be allowed to discriminate against gay people wanting it to place children with them has been rejected.
Catholic Care wanted exemption from new anti-discrimination laws so it could limit services provided to homosexual couples on religious grounds.
The Charity Commission said gay people were suitable parents and religious views did not justify discrimination.
The Leeds-based charity said it was "very disappointed". But Celia Gardiner, of the Roman Catholic Caucus of the Lesbian and gay Christian movement was "delighted" at the news, adding that the proposed amendment offended many catholics.
Catholic Care - which had been placing children with adoptive parents for more than 100 years - was among a dozen Catholic agencies in England and Wales forced to change their policy towards homosexual people by the equality laws passed in 2007.