The Government says undeveloped land in Ledbury designated for industrial use could be taken for housing instead, if there is no demand from business.

The directive from the Deputy Prime Minister, John Prescott, could have the most impact on the Bromyard Road industrial estate.

Herefordshire Council's Unitary Development Plan, the blueprint for the county's future until 2011, includes an extension of the Ledbury bypass, under the railway viaduct to Bromyard Road.

This would create the necessary infrastructure for an expansion of the industrial estate.

Herefordshire councillor for Ledbury, Barry Ashton said: "I don't know if I'd like to see housing there. However, if the land is not taken up for industrial use, it could be considered.

"There's still industrial land available off the bypass, on the Lower Road Trading Estate, but the arrival of the Homebase store is a change from semi-industrial to retail, an indication that there were no takers for its original designation."

Coun Ashton added the UDP's lack of provision for large-scale housing development in Ledbury up to 2011 was not sustainable, in view of the pressure being put on by developers.

The revised UDP will be put before Herefordshire Council's cabinet next week, before being presented to full council.