The historic villages of Newington and Peene (ca. 100 houses) are now onthe edge of major construction works. The Channel Tunnel Terminal site will convert the area from a rural to an urban/industrial environment. Eighteenhouses have been demolished within the site boundary. Remaining residentshad the choice to leave or stay but compensation arrangements have causedThis paper examines the psychological responses of the villagers to the largescale reconstruction of their landscape. A research study was carried out bythe author between June and November 1988. Using qualitative analysisbased on In-depth Interviews, psycho-social effects were interpreted with-in a theoretical framework which Includes aspects of place identity, in rela-tion to self and group identity, rootendness and attachment; personal con-trol, Including issues of privacy, territoriality, predictability andalienation; and psycho-social transitions to evaluate changes to a respon-dent's assumptive world and to consider mental and physical health effects.Responses indicated a strong Identity with and a corresponding reaction tothe loss of their environment, e.g. views, footpaths, woods, hedgerows, floraand fiuna. An Inability to identify the site of former landmarks created feel-ings of confusion, frustration and disorientation, including anxieties overlosing memories from the past and not being able to project into the future.The erosion of the community (many young families have moved out leavingan elderly community behind) resulted in changes in the support structureand the loss of village traditions. They displayed an inability to interperettheir situtation in a way which allows them to perceive control or to predicteven daily events. Incongruency between their imposed life space and their-values was apparent. The consequences have included increased rates ofmen-tal and physical illness, martial difficulties, anger, frustration and cyni-cism including loss of faith in democarcy and the due processes of the law.Environmental Impact Assessments (EIA5) have not taken into account psy-chological variables such as place identity, personal control and psycho-social transitions. If the effects of the Channel Tunnel terminal site on theresidents of Newington and Peene are representative of large scale environ-mental projects, then there is clearly a need for EiAs to recognise the im-portance of these factors and to explore strategies for dealing with the con-sequences. Perhaps a prerequisite is to clarify and reinforce the fullmeaning of the EEC Council Directive 1985/337/EEC.