Five local needs houses for an open field at Threlkeld have been refused by the Lake District National Park Authority.
The decision for the site off Station Road comes despite the fact that five properties on the opposite side were given permission just four years ago.
Planners ruled that the latest development on the farmland opposite would extend the built-up area of the village down towards the A66.
In June 2018, five houses for local occupancy were given the go-ahead on the other side of the road in a popular development called Station Terrace.
But planner Ben Long said the latest application would see the new houses projecting south beyond those approved on the opposite side.
In his decision, Mr Long found: “I consider that there is merit in ensuring consistency of the extent of development on the east side of Station Road to match that recently established on the west side.
“The proposed development on this larger site would extend the built up area of the development further into the open fields that separate the village from the A66 – eroding the positive contribution that they make to the landscape setting of the village.”
Planning agent Martin Cuthell, of Portinscale, had submitted the planning application on behalf of Mssrs Birkett, of Birkett Mire, Threlkeld, with the official refusal coming last month.
In documents submitted to the LDNPA, Mr Cuthell stated that the point of the development being “offset” from those opposite was to avoid conflict around the vehicle entrance for Station Terrace.
The hope had been for three detached and two semi-detached houses.
The detached houses would have had three-bedrooms and the semis two bedrooms in a “courtyard” layout.
In support of the plan, Mr Cuthell wrote: “The sizes of the dwellings are fairly modest and simply designed to ensure they remain affordable under the local occupancy restrictions.”
Threlkeld Parish Council raised concerns about the potential increase in vehicles.
Highways authority Cumbria County Council raised no objections but suggested conditions instead.
The plans also attracted three letters of objection from residents. Some complained about the “unnecessary extension of the site and incursion into the green space”.
They added: “Station Road is a no through road, but it does now see substantial use.”
Residents John and Laurence Deadman told the LDNPA that the proposal was an “unacceptable encroachment onto farmland beyond the existing natural boundary of the village.”
They added: “Threlkeld has had (is having) so many new builds approved that it is losing its rural village character. Surely this is not right for a national park such as ours which is under such desperate pressure already?”
Resident Mike Chapman said it was an attempt to extend the footprint of the site further down the road to create more housing and “erode the remaining green space”.
“I believe this is unacceptable and strongly request the planning board to reject this aspect of any plan for this site,” he wrote.
Planners decided that while properties of one to three bedrooms were needed, the proposal would not “protect, maintain or enhance the character and landscape setting of the village”.