Prizewinning author Philip Pullman, above, has spoken out against plans to turn a historic Oxford boatyard into flats.

The Alchemy boatyard, at the former Lucy's factory on the canal in Jericho, inspired Mr Pullman's characters, the Gyptians -- nomadic boat people -- in His Dark Materials trilogy.

The boatyard could make way for 41 residential units, including 14 affordable homes.

British Waterways has already been refused planning permission by Oxford city councillors for the Bellway Homes scheme, but has appealed to the Government to overrule the decision.

Mr Pullman, of Cumnor, said: "I like the idea that 10 minutes walk from the city centre there is a quiet little stretch of canal with people earning a living, doing a good job and making the city more interesting.

"I used the canal as a starting point for an alternative Oxford.

"What intrigued me was the idea of the different world of the Gyptians who live their own life and come and go -- something very much part of what Oxford is.

"It is true we have a narrow boat world that touches the city at that point and a couple of others, and extends a private, secret way throughout England on the canal system.

"I welcome this very important and interesting part of what made Oxford what it is.

"It would be a great shame if for the sake of making money a company put up goodness knows how many executive style houses and apartments.

"The boatyard looks nice, it looks busy. It hasn't been able to prosper because it has had a series of short leases and people who run it can't get established.

"It is doing a valuable job, if it wasn't there people would go somewhere else, taking money out of Oxford.

He said housing developments had already extended too close to Port Meadow, and criticised the way large companies had ruined some of Oxford's unique character by taking business from smaller firms.

He said: "There used to be an old haberdashery in the Covered Market, and Thorntons bookshop in Broad Street. It's part of a genuine state of erosion of urban life throughout Britain. wherever you go it is not unique, it all belongs to big companies.

"When the Clarendon Centre first opened I tried to take a picture inside because I'm interested in architecture and the security guard stopped me, it's retail fascism, we can only go in there if we behave ourselves."

He admitted the issue of meeting housing need in Oxford was difficult, but suggested brownfield sites in Cowley should be used, instead of historic areas of Jericho.

British Waterways spokesman Vanessa Wiggins said: "That area has been earmarked for residential development. We own land near the boatyard and a tendering process found a developer, Bellway Homes, interested in a housing scheme."

She said the scheme included a piazza area, which would provide a better setting for the historic St Barnabas Church.

She said: "At the moment that area isn't accessible to people. This scheme would allow people to make the most of the environment there."

She said the amount of money British Waterways would make had not been revealed, but said it would be used for improvements to canals.