COUNCIL chiefs in the New Forest are attempting to settle a planning row and avert an appeal that could cost taxpayers thousands.

Talks are being held with a developer who wants to build more than 300 homes on the former Webbs chicken factory site at Lymington.

When the multi-million-pound scheme was debated by the district planning committee, councillors criticised several aspects of the application and delayed a decision.

Planning officers warned that the deferral would be difficult to defend if the applicant, Paxton Holdings Ltd, lodged an appeal.

Any hearing might take place as early as May and could result in costs being awarded against the council if the authority is found to have acted unreasonably.

Now officers have arranged a meeting with representatives from Paxton in a bid to break the deadlock.

The talks could overcome the councillors' objections to the scheme and result in it being approved in time to head off an appeal.

A council spokesman said: "We have got a meeting with the applicants next week and will see how we can take things forward.

"We will be looking to take the application back to the March meeting of the committee.

"Appeals always carry the risk of costs being awarded against the council if it is seen to have acted unreasonably.

"However, the applicant has not yet appealed against non-determination and the council still has an opportunity to decide the application."

The Lymington Society is urging the authority to reject the scheme and thus avoid an "unsatisfactory compromise".

Chairman Clive Sutton told the Daily Echo: "Councillors must not accept the application, which does nothing to address the fundamental objections of local people."

Much of the criticism centres on the design of the proposed development and the density of the housing.