Reduce house offer because of undisclosed sewage pumping station in the garden

If you will forgive me for saying this, it sounds like you are making excuses to get money off, and if I was the seller I would tell your to pump off!
A sewage pump is a particular type of water pump. Their description was not inaccurate.
 
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ask his potential neighbours, of any issue smell/overflow .... ?!

just googled smell (from elsewhere in village) ... now I know what it is
Hydrogen sulfide is a colorless, flammable gas that smells like rotten eggs at low concentration levels in the air. It is commonly known as sewer gas, stink damp, and manure gas. At high concentration levels, it has a sickening sweet odor

At high concentrations, H2S won't be detectable by smell and you'll likely be unconscious or dead.
 
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