Grab and Deliver Ltd has set up a waste transfer station in Freezemoor Road, New Herrington Industrial Estate, to recycle rubbish from the building trade.

It took over the site from a car scrap dealer, but because it is operating a different type of business it was told it must apply for retrospective planning permission from Sunderland City Council.

Residents and councillors are up in arms about the station, which they say will cause noise and nuisance, and Shiney Row councillor John Scott said the Environment Agency had already pulled the plug on one operation on the site.

He launched a furious attack on the application when it was put before a council committee.

"I can't believe this is recommended to be approved," he said. "I can't see how planners come up with this. Would you get this in Seaburn?"

Fellow Shiney Row councillor Mel Speding, who is not on the committee, spoke on behalf of residents and presented a petition signed by 36 people living in Langley Street, who were not asked for their opinions on the plans.

There were also concerns about harmful substances being transported to the site, and that once the site was given planning permission the operator could deal with whatever waste it wanted.

But Mike Trott, from Grab and Deliver Ltd, said his company only dealt with waste from the building trade and had no intention to deal with household refuse.

"The site is a recycling site for hard core and aggregates. We do not take household waste," he said.

"We recycle up to 95 per cent of what we take in."

Mr Trott said he was more than happy to discuss any concerns from residents about the waste transfer station.

The company has already agreed to put up a "noise attenuation bund" – a screen to block out sound from the crusher, vehicles, machinery and other parts of its operation on site.

Councillors asked that the bund be landscaped and grassed over rather than simply being a large pile of unsightly rubble.

The committee voted through planning permission, but also imposed further conditions.

Councillors said there must be no handling of domestic waste on site.

Officers had already suggested that the company must also be compelled to provide details on how it would deal with noise and methods to prevent dirt and debris from spreading to the surrounding road network.