An £8m bid to redevelop Lotus' site at Hethel could be in doubt after the parish council threatened to derail it as part of an escalating dispute over company staff speeding through the village.
People living near the plant claim that they are being woken in the early hours of the morning by workers heading home from their night shift at high speeds.
They have even dubbed the noisy nightly commute the 'Lotus Rally'.
Bracon Ash and Hethel Parish Council has previously raised the issue with the company, but claim there has been “no improvement whatsoever” and the management is not doing enough to stop it.
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In a major escalation of the row, the authority is threatening to thwart the Chinese-owned firm's major redevelopment plans for the site.
In a recent email to the company, Colin Rudd, chairman of the parish council, said: "It is quite clear that any further expansion plans must take into account this unsociable behaviour as by your own admission you cannot control this behaviour."
The parish council has already lodged an official objection to one part of the development scheme and is now asking questions about the funding of another part.
The company's plans involve the construction of three new buildings at its Hethel site to support its conversion to the production of electric vehicles.
The parish council has submitted a letter to South Norfolk Council saying permission for the new units should be refused as there is insufficient detail on their use and appearance.
And it is now objecting to a second part of the plans, which involve major changes to the road network outside the site.
This includes the construction of a new roundabout in Wymondham Road and a new route to improve general access to Hethel Technology Park, where Lotus are based.
Of the £8m cost of the project, £5m is due to come from a fund created by a levy on housing developers to pay for infrastructure.
The parish council is now questioning why this money is being spent on a project that it says is of greater benefit to a company than the general public. It is asking South Norfolk Council to investigate the issue.
Mr Rudd added: "£5 million is a lot of money. And I can’t believe spending public money on a project for a commercial business is considered a good option.
"This clearly does not benefit the public. It should be used for community projects."
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He added: "I'm not opposed to the expansion as such.
“And it’s very important that Lotus are here as they bring benefits to the area.
“But we don’t know what the buildings are going to be used for.
“And, on the issue of noise, if they can't control it now then what impact will this huge expansion have?
“We have flagged this with our councillor and asked them to investigate further."
The parish council has raised its concerns over the funding with local South Norfolk councillor Jim Webber, who has agreed to pass these on the next meeting discussing the project.
A spokesman for Lotus said: "Norwich has been home to our sportscar manufacturing for over 57 years, and we have a long-standing commitment to the local community. In recent years, we have invested over £500 million in R&D and operations, and play an active role in the area.
"The roundabout that is being built next to the factory will enhance site access, whilst also improving road safety and congestion in the area.
"We appreciate there have been concerns about noise complaints from local residents that may have been caused by Lotus employees leaving the site late at night. We are taking this issue very seriously and are currently investigating. Should it be confirmed that the noise is being caused by our employees we will take appropriate action."
A South Norfolk Council spokesman defended the £5m funding.
“New employment opportunities at Hethel present some of the greatest opportunities for economic growth and job creation in the region which will lever in multi millions of pounds of inward investment," he said.
“Therefore, spending £5m on enabling infrastructure is considered to be an excellent use of the funding stream and it will significantly benefit our residents and the wider area.”
'THE LOTUS RALLY'
Villagers in Hethel have been complaining about late night noise from Lotus staff for months.
They say the problem occurs at around 2am, when the late shift workers finish.
They claim up to 40 cars - many high performance sports vehicles - leave the site and head out onto the quiet rural roads.
Witneses have described the scene as like something "from the Wild West".
One local said: "The majority are driving at excessive speeds through Bracon Ash from around 1.30am until 2.30am.
"And there is no point going to sleep until it finishes, so we have to endure the Lotus rally until all the employees have left."
The company says it is not possible to confirm whether it is staff who are responsible for the noise.
But it says it has raised the issue with employees and stressed the need for them to considerate to neighbours.
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