A BID for an enterprise zone for Lancashire, which could have created thousands of jobs, has been turned down.

Earlier this year, the Government named the first 11 zones, which will benefit from tax breaks, relaxed planning regulations and high-speed internet links, in cities including Manchester.

A second wave of 11 sites was announced today but Lancashire's bid, centred on the two BAE Systems sites in Samlesbury and Warton, was unsuccessful.

The only new North West enterprise zone will be in Warrington, at the Daresbury Science Campus, with most new zones being created in the south of England.

Chancellor George Osborne said the zones would create more than 30,000 new jobs by 2015.

The Lancashire Enterprise Partnership, which led the bid for the enterprise zone, today vowed to explore alternative options.

Chair Edwin Booth said: "Despite the decision, we had some very positive feedback from government about the quality of the Lancashire bid."