Red Funnel 'pressurising' residents over East Cowes houses

A ferry firm has been accused of "pressurising" homeowners on the Isle of Wight whose properties are earmarked for demolition.

Red Funnel plans to build a new terminal on Dover Road, East Cowes.

Resident John Shaw said the company's £220,000 offer for his five-bedroom house was "totally inadequate".

Red Funnel's chief executive Kevin George said the offers were "generous and appropriate".

Earlier this year the company had to apologise after residents only discovered the demolition of their homes was included in the plans when they went on display at a local supermarket.

Mr Shaw, 53, said his family, including two foster children, had suffered from stress since negotiations with the company began over the purchase of their home.

"We feel we're been pressured to get out of the way for this development," he said. "It's not fair to treat people this way - it doesn't seem right that you are made to sell your house for what is a commercial enterprise."

He said the company had not taken into account his large outstanding mortgage and the fact he would have difficulty securing a loan for a suitable new property.

He said a suitable property on the island would cost him about £400,000.

He said three neighbours were facing similar concerns.

Red Funnel said its offers were fixed for two months but could be reviewed after that time.

He said applying to the council for Compulsory Purchase Orders (CPOs) would be the "absolute last resort".

"We don't really want to go that way, the bigger picture is this is once in the lifetime opportunity to regenerate East Cowes and create a gateway to the island and we are keen to get on with this. But at the same time, there are very personal decision to be made," he said.

The £14m project, which is being funded equally between the local enterprise partnership and the ferry company, includes a new terminal for the service between Southampton and the Isle of Wight.