The 400 lambing ewes were taken to Crouchley Lane nine weeks ago, but their farmer has been stopped from moving them.
Six weeks after they were due to return to Glossop there are less than 300.
Many of them - and their newborn lambs - now lay dead in the field.
"It is sheer cruelty and neglect to leave these animals in such a poor state," said resident Toni Ghilks. "We have been told they have to be culled but until the MAFF get round to that the sheep are left to suffer."
There is little grass left on the field and hay laid out for them each morning by a mystery man is not enough to feed them all.
Paul Gardner, 63, who lives opposite the field, has been forced to watch their suffering.
"Every morning I open the curtains and look out across the field to see more dead sheep," he said yesterday. "It is a horrendous and distressing sight and something needs to be done urgently.
"I have lived here since 1956 and have never witnessed cruelty like this."
There is now a pile of about 18 carcasses near the edge of the field which are beginning to smell while other dead sheep lie among those searching for food.
Ms Ghilks visited the site on Saturday to find newborn lambs trying to feed from their dead mothers.
When she checked on them two days later, all the lambs were dead.
"They were born in the morning and died in the night," she said. "I would have taken some of the lambs home if I could but I can't afford the huge fine I would get for trying to save them."
Tatton MP Martin Bell has approached the intervention board for permission to slaughter the sheep and put an end to their suffering.
"There are two issues here," he said. "The irradication of foot-and-mouth disease and an end to the appalling suffering of the animals.
"I hope that after this crisis is over new ways can be found to prevent this cruelty ever happening again."
Knutsford company Harlow Marquee Hire has offered to erect a marquee in the field to provide a shelter for the sheep.
"We are just waiting for permission to go on to the field," said a spokesman.
No-one was available for comment from the MAFF yesterday.
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