Children have been forced to play inside after an 'eye watering' smell of rotten eggs and sulphur has plagued the neighbourhood for weeks.
Residents in Kirkby, Merseyside have complained of a strong smell in the area for some time.
Local authorities including Knowsley Council, West Lancashire Council and the Environment Agency claim to have discovered the source of the odour but cannot currently identify the business.
The stench of rotten eggs reportedly even led to a school being evacuated and locals have been forced to close their windows to avoid breathing the sulphur-like smell in.
A Kirkby resident, who does not want to be named, told the ECHO: 'It stinks of sulphur. A horrible burnt rubber smell.
'It's that bad, the wind was blowing directly south yesterday (March 31) and all the kids on my street weren't allowed to play outside because the smell was that bad. We had to close our windows.
Residents in Kirkby, Merseyside have complained of a strong smell in the area for some time. Pictured: Kirkby Town Centre
Local authorities including Knowsley Council, West Lancashire Council and the Environment Agency have discovered the source of the odour but cannot currently identify the business. (Stock Image)
'There was a slight bit of a temperature increase. Our main concern is, when it gets warmer, what's going to happen?
'It's eye watering. It makes you feel sick. If we have a summer like last year, it's going to be terrible. It makes you feel sick and nauseous.'
A spokesperson for Knowsley Council said in a statement: 'It is believed that the source of an odour that has been impacting residents in Kirkby over recent weeks has now been identified.'
The statement added: 'The Environment Agency - who have already taken action and will be working closely with the business involved to further investigate, implement an Odour Management Plan and ultimately resolve any issues on site.'
It also said how the Environmental Health teams at Knowsley Council and West Lancashire Borough Council have found specific problems that officers believe could be the source of the smell.
Andrew Donaldson, Knowsley Council's executive director for neighbourhood services, added: 'I am certain that those residents who have been intermittently plagued by this foul smell will welcome the news that a likely cause has been identified and that the Environment Agency is addressing this matter.
The stench of rotten eggs reportedly even led to a school being evacuated and locals have been forced to close their windows to avoid breathing the sulphur-like smell in. Pictured: Kirkby Town Centre
'Of course, work still will have to be done to address the issue but it's really positive news that a source has been identified and appropriate action can now be taken.
'We will continue to provide whatever support the Environment Agency or our residents require in the coming weeks.'
An Environmental Agency spokesperson said that action had been taken due to the reports from locals.
Specialist officers had also been sent to the location, the spokesperson added: 'We served an enforcement notice to reduce the nuisance to local communities.
'We would like to thank the members of the public who reported this to us. Our hotline is open 24/7 and can be reached on 0800 807060.'
A spokesperson for West Lancashire Borough Council added: 'Should residents or businesses witness the odour, they should report the matter to the Environment Agency directly on their pollution hotline number, 080080 70 60.'