Former military barracks in Dover are being considered for an open prison by the Home Office, the BBC has learnt.
Connaught Barracks have been largely empty since the parachute regiment pulled out of Dover in April.
Paul Watkins, leader of Dover District Council, said: "This being dumped on Dover will not go down well."
The Home Office would not confirm it was planning a prison for the site but it said it was keeping options open.
It added: "We are constantly engaged in identifying ways of expanding capacity."
'People outraged'
A source said the Home Office was keen to acquire the site by December.
Dover District Council said the government would not need planning permission to convert it to a prison because it was a military site.
"The people of Dover will be outraged at a time when Dover's going through a period of regeneration," Mr Watkins added.