PLANS to transform an historic Old Cleeve sheepskin tannery business into homes were blocked by West Somerset district planning committee last week.

The tannery, owned by Scottish property developer Wood-Olympic, is one of just three of its kind remaining in the South West and Wales.

The firm bought it from the receivers four years ago but recently felt swift changes were needed because hundreds of thousands of pounds had been lost and the business was not proving viable.

Site occupier Lambflex argued that it was holding talks with a company in Poland which could create ten jobs and was hoping to take on another seven staff when it moved into the beef hide trade.

Lambflex managing director Stephen Joll employs five people at the Old Cleeve tannery factory and is a partner with another Englishmen and two Italians in a leather processing consortium.

The factory exports around 20,000 sheepskins and cattle hides a year to Italy and Turkey - providing 17 jobs.

Old Cleeve Parish Council has investigated and researched the application in great depth because of the complicated and sensitive nature of the project.

The 100-year-old tannery is situated to the west of Old Cleeve and the site contains a large modern industrial-type building and older traditional properties.

Wood-Olympic's proposals were to knock down the modern buildings and convert three traditional buildings to form four homes. One property was to be doubled to create a three-bedroom house.

Each home would have had a garden and parking area and a shared driveway.

The Environment Agency opposed residential housing on the grounds that the land is low-lying and prone to flooding, as was illustrated at the end of last year during severe downpours.

District council planning officials said that Wood-Olympic had overlooked the five workers currently employed who now had "more work to do than any time in the past four years".

Planning officer Steve Kirby said the tannery business was outside Old Cleeve and in open countryside, which would lead to extra traffic, and the area lacked amenities such as a shop or post office.

He also questioned whether the buildings which had been earmarked for conversion would need to be demolished to bring them up to the required standards.

Mr Kirby said: "In the opinion of the building control officer, the existing buildings are considered to be structurally unsuitable for conversion.

"In one case, a major extension is required. Another major concern relates to the possibility, as outlined by the parish council, that there is the prospect of continued use of the premises and the expansion of the workforce."

Mr Joll, who revived the tannery business 15 months ago, was said to be delighted with the district council's decision.