The historic market town of Banbury found itself briefly in the national spotlight this week when it emerged that police were investigating reports that a woman had been gang raped in the graveyard of a church there.Rumours swirled about what had happened and who was responsible before police issued a second statement clarifying one point: the incident was not being linked to hotels in the town where the Home Office has been housing immigrants.And the reason that statement was apparently deemed necessary, it’s believed, is because of mounting concern about the number of migrants in the town - which had seen many immediately assume a connection.So perhaps fearing the febrile outcome seen in the comparable scenario in Epping, where fraught protests followed a sexual assault on a minor by a small boats migrant, police in Oxfordshire issued this statement.At the centre of rising tensions in the town is the Banbury House Hotel.This was once a coaching inn catering to tourists visiting nearby attractions: the Cotswolds, the spires of Oxford, Shakespeare’s Stratford-upon-Avon, Blenheim Palace and Silverstone racetrack are less than half-an-hour away.The marble-white fronted Georgian-period town house was also the venue for countless weddings, celebrations and Christmas parties for the residents of this vibrant market town and the dozens of surrounding villages.The family-run Best Western-branded hotel was sold in 2014 and is now owned by Corinthia Holdings Limited that is run by two Home Counties based businessmen. The Banbury House Hotel was once a venue for weddings and celebrations, but has now become the centre of rising tensions due to its use as migrant accommodation Police are currently investigating the rape of a woman in the graveyard of St Mary's Church in Banbury Locals have become worried about the safety of women in public spaces such as the church graveyard (pictured)But the decision to transform the 64-room hotel into Home Office accommodation for asylum seekers in 2022 was to change the town’s perception of the hotel radically.And even after the police’s statement exonerating those staying at the hotel - and the additional clarification that although they continue to support the complainant they have found no evidence that the rape took place as reported to them - there remains widespread local concern about the effect the takeover has had on the town.Typical was Louise Moss, 34, who claimed that the arrival in Banbury of large groups of unaccompanied men in the last three years has made her feel unsafe.She said: ‘I don’t have a problem with foreigners at all. But now I just don’t feel safe going out here at night.‘It just doesn’t feel safe for a woman to walk around the streets at night alone.’Others protest the effect on the local economy.James Douglas, 44, owner of Henry’s of Banbury gentleman’s outfitters said: ‘I think absolutely that the asylum seekers have to be housed somewhere. But taking over the hotel in Banbury has had a real effect on the town itself.‘Since the hotel was turned over to asylum seekers I have noticed a marked drop in tourist footfall and therefore sales. Louise Moss, 34, said she felt 'unsafe' after large groups of unaccompanied men began arriving in the town Locals in the town remain concerned about the effect the migrants at Banbury House have had on the town‘This is because we used to get a lot of tourists coming into the shop who would spend one or two nights in Banbury.‘I understand why the government is putting asylum seekers in hotels. I wouldn’t want them put onto floating accommodation blocks. But I really don’t think Banbury is the right place to house them.’Others are resentful of the cost to tax payers of block booking the hotel.Pensioner Jacqueline McKenna, 75, said she believed asylum seekers had been given priority over more deserving cases.She said: ‘The government should not be spending money on people who have just arrived in the country, when they are not supporting pensioners and disabled people.’Utilities engineer David, 57, who declined to give his full name, claimed asylum seekers are being housed at the expense of local people.Citing the example of his friend who has an eight-year-old daughter but cannot find a home, he said: 'The government should look after their own first, rather than prioritising asylum seekers. It’s just not right that asylum seekers are put at the front of the queue.’Retired builder Steve, 70, added: ‘There should not be asylum seekers being put up in hotels and given free accommodation. James Douglas, 44, owner of Henry’s of Banbury gentleman’s outfitters, said he noticed a drop in tourist footfall‘Apart from anything else the cost of accommodating them in hotels is insane.‘It’s bad for the country and it’s bad for Banbury.’Of all the people we canvassed, only one, postal worker Jenny Bimson, 40, said she welcomed new faces to Banbury.She said: ‘The asylum seekers have been living in that hotel for quite a while but I don’t have a problem with them living there.‘Banbury is changing with international restaurants and shops.‘To be honest, I quite like the diversity.‘Yes, Banbury is now quite diverse for a small market town.’If the report of an attack in St Mary’s churchyard does prove to be a false alarm then it won’t necessarily reassure a town where many claim crime has become more prevalent.Ex soldier Tom Reck, 76, who uses the path through the churchyard to exercise his three-year-old poodle Jack, said: 'I wouldn’t come here after dark, it’s just not safe.'It’s a bit frightening even in the daytime with men drinking and shouting. Ex soldier Tom Reck, 76, regulary visits the church graveyard to walk his three-year-old poodle JackEmpty whisky bottles and cans of cider litter the church steps and are even left on graves outside St Mary’s, famous for its Byzantine-style basilica.There are also wrappings and price tags from goods stolen by shoplifters who use the churchyard as a den.Disabled Mr Reck, who farmed after leaving the army, believes police don’t tackle the rowdy gangs because it is church land.But one of the town’s crime hotspots is the Victorian People’s Park, less than a minute’s walk from the churchyard.A young woman was raped there in March and her attacker Faris Suleiman, 19, was found guilty of the attack at Oxford Crown Court just two weeks ago.He is now in custody and is due to be sentenced later this month.The rape isn’t connected to last weekend’s alleged graveyard sex attack but it has increased the fear factor for people using the town’s public places - which it seems is not confined to concerns about migrants but a wider fear of crime and anti-social behaviour among the general population.A security guard, 44, who lives in the town, told us: ‘We have a beautiful park but it’s where we get sex attacks, stabbings and drug dealing. Another rape took place at the People’s Park, less than a minute’s walk from the churchyard, raising more concerns about the town's public spaces‘The town police station is just around the corner but that makes no difference - Banbury has a bad crime problem right now.‘I don’t come here in the evenings, you don’t know who you’re going to see.'This is a rough place but I can’t tell you what it’s like after dark because I don’t risk going out then.'CCTV cameras have been put up at strategic points in the well kept park but the Daily Mail witnessed a drug deal going on at 3pm in the autumn sunshine.The Home Office declined to reveal the number of migrants currently housed in the Banbury area but locals insist the only known large centre being used is the once grand Banbury House.The opposition to housing asylum seekers at the Banbury House Hotel comes as the government tries to pivot away from using hotels because of rising discontent.But other hotels being used locally have been affected by this - with migrants thought to have been moved to less visible private accommodation.The 69-room Whatley Hall Hotel has undergone a multi-million pound refurbishment since its contract with the Home Office came to an end.And a spokesman for the Lismore Hotel, half a mile from the town centre, confirmed it has not taken migrants for two years.Statistics suggest that Banbury is the crime-hit town of its size in Oxfordshire with 78 crimes reported per 1,000 people.