A PROPOSED housing development in Farnworth would harm business and threaten future jobs, a public inquiry has heard.

Leyland-based developer Rowland Homes wants to build a development on industrial land in Lorne Street, Farnworth, but has been told the area must be retained for industrial use.

The company appealed against the decision by Bolton Council. The inquiry into the case is being heard by a Government planning inspector and started yesterday.

Ruth Stockley, representing Bolton Council, said: "This is a primary employment site in what is a deprived part of Bolton.

"It is the only commercial site of this size in the immediate area, and we believe that a housing development would have a serious long-term impact on business development and employment opportunities.

"It would also be an unsuitable development because it would be adjacent to existing commercial premises on both sides."

Miss Stockley said the council did not believe Rowland Homes, which bought the land at auction in December, 2004, had marketed the site for commercial use as well as it could have done.

She said this contravened planning regulations governing change of use applications in Bolton.

She said: "The land has only been offered for leasehold, and we believe that the appellant has had a number of serious offers for the site, which it has turned down."

Rowland Homes wants to demolish the existing commercial buildings and begin a housing development. The company says the project would bring a much-needed boost to the area.

Hugh Richards, representing Rowland Homes, said: "This development would bring to the area a good mix of affordable housing for the local population, complete with much-needed green spaces and public art.

"We believe that this proposed development would not impact on the local area in terms of increased traffic and noise."

The inquiry is expected to last three days.

A site visit will be carried out tomorrow.