PLANS to build 96 homes on a factory site could lead to the loss of industrial land, councillors fear.

Sato UK, based in Valley Road, Dovercourt, wants to sell the current site with outline permission for the homes.

The company, which produces data capture systems and labels, wnats to move to a smaller site and build a bespoke factory building.

But Harwich Town Council fear if permission is given the site’s potential for industry and jobs would be lost.

Sato spokesman Ian Coward said the firm wanted to move to a new site on the Stanton Europark site.

He said: "Working locally with Tendring this package proposal of a new, purpose built factory to secure local jobs and a new residential scheme is seen as a very positive contribution to the local area and we look forward to progressing positively."