For your internal menu structure, should you use anchor text?

Selected answers from the Dumb SEO Questions Facebook & G+ community.

• 
  John Pitcher: For your internal menu structure, should you use anchor text - or could this damage your site?
  
  For my web design site, I have a top menu item "Areas" and eight submenu items for the local surrounding towns:
  Web design TownA (= Home page)
  Website design TownB
  Web Design TownC
  etc
  The alt/title tags also contain these keywords, often with a few non-keywords in as well.
  
  Is this likely to damage my site?
  
  Also, for completeness, whilst I have "Home" as a top menu option, I have also put an additional "Web design TownA" into the submenu ;- even though the link to this is my home page (if someone lands on a non-home page, they should be able to see from the submenus which areas are covered). Is ;this anchor text and additional link ;likely to damage my home page?
  
  Feedback would be appreciated.
• 
  SEMXE: +John Pitcher ;don't see anything wrong with your menu structure.. however not sure what you really wanted to convey in last line. can u elaborate a little more?
• 
  John Pitcher: Many thanks +SEMXE ;- have changed last line to "feedback would be appreciated".
• 
  SEMXE: +John Pitcher ;i guess u get me wrong, john :)
  with last line - i meant this one - "I have put "Web design TownA" in - ;"  ;can u elaborate here a little more.. :)
• 
  John Pitcher: +SEMXE ;- My home page covers "Web design TownA" - for my menus, I have "Home" as a top menu option and then ;an additional "Web Design TownA" as a submenu under Areas Covered as, if someone lands on a page other than the home, this would not be obvious to them. I was asking if this additional link (and anchor text) could damage my home page.
  
  PS I have now edited my question to make this clearer to others.
• 
  SEMXE: +John Pitcher ;if it's fine with you, can you share your website domain here?