BURNLEY will decline as a retail centre unless more major name shops are attracted to the town, says a new report.

And unless new retail space is made available to big name shops like Debenhams or Waterstones the town will be left behind by its major competitors.

The warning comes in a report on the future of Burnley town centre compiled by the town centre management team.

It says that Burnley must adapt and encourage new trade names into the town by offering prime retail space or risk slipping further down the retail rankings of towns in the UK.

Burnley ranks at 162 in the index of 1,100 shopping locations in the country. It has already slipped 13 places since 2001 and risks falling below 200 within the next three years unless major steps are taken to address the decline.

Earlier this year it was revealed Burnley had lost out to Blackburn in the battle to be East Lancashire's number one shopping centre.

A survey by business information group Experian caused concern among trade bosses in Blackburn last year when it ranked Burnley higher in terms of vitality.

The Retail Ranking Index is the result of surveys of more than 1,100 separate shopping locations and more than a third of a million UK retail outlets.

But in the survey for 2001, Experian placed Blackburn in 129th position and Burnley, in comparison, 10 places behind at 139.

The report also stresses the need for the site of the disused Co-op store in Curzon Street to be given over to retail development rather than office or leisure use as the site is potentially the town's only chance to create new retail space.

The site is currently facing rival bids from the Government, who want a Job Centre Plus on the land, and town centre owners Stannifer, who want it for retail use.

Town Centre Manager Lisa Durkin said Burnley must adapt if it wished to compete with other towns like Blackburn and Preston.

She added: "If Burnley stays as it is the future for the town centre will be to accept its current position as a sub-regional shopping centre with limited diversity.

"Burnley will not, in this case, remain an important centre in the regional hierarchy, but will continue to be overshadowed by Blackburn, Preston, Bury and Manchester. Burnley will get left behind and suffer decline."

Burnley MP Peter Pike said: "I am supporting the Job Centre Plus application and although I am not opposed to what the Town Centre Management are saying about retail I think they need to show that the aspirations are realistic."