A former Nato minesweeper converted into a couple's floating home is part of Shoreham Harbour's unique heritage, it was claimed at a public inquiry.

Owners Fred and Polly Cole brought the German-built Fische into the River Adur estuary as a replacement for their former home, the motor torpedo boat Luna Sea, which sank during storms in 2003.

They are caught up in a battle to keep Fische as their home following complaints from residents that the vessel overlooked their houses, was too big for its mooring, damaged their privacy and spoilt their views.

Alan Masters, representing the Coles, urged planning inspector Roger Priestley during yesterday's closing submissions to balance the pleasing aesthetic nature of the Fische to the wider community with the views of those residents who dislike the houseboat.

He said: "Previous inspectors in coming to decisions on visual amenities of houses relating to houseboats have made the point that boats should have a more nautical appearance to protect the heritage of this site."

Stuart Wright, representing Adur District Council, said that the appearance, height and position of the Fische, with its tall bow overhanging the riverbank, were unacceptable impacts on houses in River Close.

Mr Wright told the inquiry the Fische's aggressive and intimidating appearance made it more suitable for the historical dockyard at Portsmouth than for a residential area.

The Coles have appealed against Adur District Council's decision to revoke planning permission and issue an enforcement notice requiring them to remove the Schutze class minesweeper.

Mr Wright said the council was misled into giving permission to moor the vessel because a diagram submitted by the Coles with their planning application was not drawn to scale.

The Coles had told the inquiry in January their plans for Fische were drawn up on the basis of measurements given to them when they bought her.

They believed her to be 44m long and not the 47m she actually is.

Their case is that her actual size did not matter as long as she fitted within the mooring.

Keith Morgan, the council's planning manager, put forward a number of compromise proposals should the planning inspector recommend Fische remain.

These include reducing the length of Fische by four metres or, alternatively, turning the boat around so the bow faces the river instead of the houses.

The planning inspector's report is expected to be finished by mid-June and a decision will later be made by the Secretary of State for the Environment.