PRESTON planning bosses have revealed that city status may already have helped boost the area's economy.

After a tough battle to claim the title of Jubilee City, Preston's civic leaders are looking forward to a bright and prosperous future.

And the city council has already seen a 20 per cent increase in planning applications since the announcement was made on March 14.

Phil Davis of Preston City Council's planning department said: "City status focuses the attention of the North West on Preston.

"We have had a 20 per cent increase in the number of planning applications which is usually a good sign of economic growth across the board from retail to housing and industry.

"Of course a lot of what has been happening has been in the pipeline for a long time. We have got to be cautious about how you calculate these figures, because the North West as a whole has seen a rise.

"That said, things are beginning to happen."

Currently the biggest projects in the pipeline for Preston are two retail sites -- a development on North Road in Deepdale and a similar area on deserted land off New Hall Lane.

But smaller developers are beginning to see the potential of Preston. Since city status was announced pizza delivery giant Domino's have announced plans for new outlets in the area and restaurant firm Pizza Hut this week revealed plans for a new half-a-million pound project creating 40 new jobs.

Jim Carr, chief executive of Preston City Council, said: "It's always encouraging to hear of extra investment coming into Preston and although it's too early to say whether this is due to city status it may have had an effect.

"The council and its partners are working together to ensure Preston maximises its potential and harnesses the real benefits of city status -- especially in attracting more jobs and investment into the area."

But the city council has quashed rumours that Grosvenor Estate are unhappy about the levels of development in the town -- clashing with their plans for the Tithebarn area.

Mike Brogan, Tithebarn project manager, said: "The amount of retail in the city follows Government planning guidance.

"The council has to follow this, so I don't think there is a problem."