A bid to build new homes on a pub car park in Hugglescote has been rejected.

Four new three-bed houses were proposed for the site near Coalville.

The land was formerly part of the Gate Inn pub's car park, with the application reflecting plans approved for the Crescent Road site more than a decade ago.

Planning officers at North West Leicestershire District Council ruled the building of homes there remained an acceptable use of the land, and that the four proposed could "comfortably" be accommodated on the patch of land.

However, they still refused permission for the latest plans, citing environmental concerns as their reasoning. The application described the majority of the site as "developed land", their report stated.

But officers said they disagreed with this, adding the former car park had become "vegetated" since it stopped being used as a car park around the time of the previous approval in 2012. They added it now contains "self-set trees".

Because of this, officers said they could not be "confident" that applicant Sue McDiamid had correctly assessed the environmental value of the site. Where a development is proposed for an area with natural habitats and would lead to the removal of these, developers must show they have replaced these habitats either on-site or elsewhere – with new rules saying there must also be a 10 per cent increase on what is being lost through the development.

This is known as biodiversity net-gain in planning terms. Officers said, without an accurate assessment of the environmental offering of the site, they could not be sure biodiversity net-gain would be delivered in this case.

Developments have to be started within an agreed time. This is typically around three years after an approval has been given. Because of this, the applicant for the Crescent Road site will need to have a new application approved by the council, despite the 2012 permission.