Nexen's current plant. PHOTO: GOOGLE MAPS

UK forklift manufacturer Nexen is locked in a tussle with local authorities over plans to expand its site.

According to the Eastern Daily Press, 200 jobs could be lost after a council turned its back on an approved planning application to make changes to a long-awaited bridge.

Nexen Lift Truck Technology applied for permission to build a GBP8 million (USD10.5 million) office extension in 2007. The application was approved by Suffolk County Council, but the financial crisis delayed the start of construction.

Last year, when Nexen was ready to begin building, it was prevented from doing so by a "last minute" change of plans for a nearby crossing bridge. The bridge approval means Nexen may not be allowed to build the extension which would protect 50 jobs and create 150 new jobs.

The report quotes Nexen director Tim Mason as saying the new decision is unacceptable.

"They made the U-turn on our application, and we have not been unreasonable and put common sense recommendations to them," he says.