The centre, on former MoD land, would hold more than 700 people

John Prescott approved the centre at Bicester, Oxfordshire, despite an independent planning inspector recommending turning the proposal down.

Now Cherwell District Council is challenging the decision through a judicial review. The hearing should last two days.

Hundreds of local residents have turned out to demonstrate against the plans.

We gave no faith in Home Office assurances that (the centre) will not be a drain on local resources, including health and social services Lawrie Stratford, deputy leader of Cherwell District Council

They say the centre would be too big and too remote, and that there is not enough infrastructure in a rural area to support an extra 750 people.

The site, on former Ministry of Defence (MoD) land between Arncott and Piddington, has been earmarked to house up to 400 single men, 50 single women and 300 family members while their asylum applications are being processed.

Lawrie Stratford, deputy leader of the Conservative-run Cherwell District Council, said: "We are not looking to embarrass the government. We are looking for the right solution to this problem.

"We have argued all along the planning application was wrongly processed and a centre of this size for 750 asylum seekers is wholly inappropriate for this rural area.

"This settlement will be between two villages which both have only around 300 people.

"We gave no faith in Home Office assurances that it will not be a drain on local resources, including health and social services."