RESIDENTS near a controversial scrapyard are to meet with government officials after complaining about noise and fumes from the business.

Alliance Mill Scrapyard, Alliance Street, Baxenden, had its licence taken away by the Environment Agency in January for not paying its annual fee though it can still operate the car repair side of the business.

The scrapyard has generated several complaints over the last 18 months from residents who said the site operated as late as 11pm, was a fire hazard and noise nuisance and created fumes.

Neighbours also said cars were stacked dangerously high too close to the houses.

The business has been the subject of investigations by Hyndburn Council, the Environment Agency, and MP Greg Pope. In March it was raided by police.

Carol Holt, Environment Agency protection team leader for East Lancashire, said the agency had investigated complaints from residents but found they were "fairly minor".

"The cars were a big concern and we made them reduce the height of the cars and the volume of cars on site. They have probably gone down by about 70 per cent in number."

But she said the business had made progress on clearing the site and implementing improvements including taking steps to prevent leakage of oil and battery acid from the site.

"They are progressing in the right direction. We had a meeting with them last week on the site and there are still more issues that need to be resolved. It's in their own control. If they do the work quickly to satisfy the standards they could be open soon."

But residents say the noise and fumes are still a problem and on Friday they will meet councillors and an Environment Agency representative to discuss the matter.

John Griffiths, Conservative member for Baxenden, said: "The residents feel they have suffered for quite long enough. They thought it was all going to go away but nothing has really happened. If it's a nice sunny day they can't sit out in their gardens and yards. Up to date we have seen no real improvement in the noise, fumes and opening hours."

Coun Tim O'Kane, whose portfolio includes environmental issues, said: "I have got every sympathy with the residents. They shouldn't be having to put up with this level of aggravation." Mr Sharif, principal operator of the business, could not be contacted for comment.