More than 90 drug consumption rooms have been set up worldwide, including in Switzerland, the Netherlands, Germany and Spain.
Mr Trace, vice chairman of the commission, said eradication of illegal drug use was not now a realistic aim and management should now be the priority.
He said: ‘A lot of drug partnerships around the country are doing good things but none of them have been able to get the drugs market under control.
‘So we need to look for realistic objectives: ways of managing the market rather than eradicating the market.
‘It is difficult for political leaders and executives within the police but you have to be honest about the situation.
‘We are not going to do anything to make illegal drug use go away but there are things we can do to resolve health and crime problems.’
Previously Andy Winter, chief executive of the Brighton Housing Trust, which runs the city’s largest drug and alcohol treatment service blamed the drug problem on ‘anything goes night time culture.’
He said: ‘We have to ask ourselves as a city whether we want to continue with this awful tag.
‘Although people are enjoying the night time economy, there are victims too and that needs to change.
‘However, we are seeing a better integration of services in Brighton and Hove then we have ever seen before and the drop in deaths reflects that. But even one death is one too many.’
Charlie Lloyd, from York’s mental health and addiction research group, said a study in Vancouver showed that public injections were reduced by 50% near the city’s drug consumption room.
He claimed there had never been an overdose in such a facility anywhere in the world.
Martin Barnes, CEO of the UK drugs charity DrugScope said: ‘There is significant evidence internationally that drug consumption rooms can help address the health and social harms associated with problem drug use – including reducing the risk of overdose, improving health and lessening costs to society.
‘We support the piloting and evaluation of drug consumption rooms as a contribution to improving public health and reducing drug-related harms.’
The proposals are due to be considered in June.
By Nazia Parveen | DailyMail