TWO controversial planning applications are to be aired this month in Bishop's Waltham.

An inquiry is being staged into the refusal by Winchester City Council to build houses on the Abbey Mill industrial estate.

The council threw out the plans after agreeing with campaigners that it was unfeasible to have homes built alongside industrial premises.

But celebrations were cut short after the owners of the site, James Duke and Sons, lodged an appeal with the planning inspectorate to have the decision overturned.

It comes as a blow for Ray Wyer who has run RNM Freight, which employs 14 people, for 16 years.

He said: "It is just such a shame that the land owners aren't supporting the tenants who have been supporting them for so many years. There is no way a housing development would work alongside an industrial estate, we just couldn't continue and so what would the alternative be?

"We would just have to be dispersed all over the countryside which nobody wants.

"This site is perfect for us and always has been. More than 70 per cent of the people I employ live in the village."

The application had cast doubt over the long-term future of the business on the Abbey Mill estate for a number of years, but campaigners were confident the council would stick to their local plan and agree the site should remain for business use only.

At the two-day inquiry starting on November 26, Duke and Sons will be hoping to overturn the decision refusing permission to demolish most of the commercial buildings on the site and replace them with 30 houses and flats.

In a separate application a request for outline planning approval has been submitted to Winchester council to build five two-bedroom apartments on the site of the former educational institute.

Villagers fought strongly to keep the institute open as a historical building for Bishop's Waltham but in the end it was decided it was not viable to keep it open as running costs would escalate.

Chairman of Bishop's Waltham parish council Eric Birbeck said: "This is outline planning permission for the site which would increase its value and appeal to developers. The money we raise from the sale would be given back to the villagers so the more money we get from the sale the more money would come back to the village."