JOHN Prescott has promised to look at ways the Government can help refurbish unfit, private terrace homes in East Lancashire.

The Deputy Prime Minister pledged action after MPs Gordon Prentice and Peter Pike raised the problem of thousands of rundown and empty homes throughout the area.

The exchanges in the Commons came as Mr Prescott unveiled his Urban White Paper aimed at regenerating Britain's inner cities and deprived urban areas in towns.

Documents attached to the White Paper indicated the scale of the problem with five of East Lancashire's six local authority districts having more than 10 per cent of house sales coming in at under £20,000.

The highest proportion is Burnley at 26 per cent closely followed by Hyndburn with 25 per cent.

Pendle (23 per cent), Blackburn (20 per cent) and Rossendale (16 per cent) all come in the top 20 for the proportion of low value homes.

The document also shows that Blackburn with Darwen and Pendle feature among the 20 most deprived districts in England.

Mr Prescott promised a series of tax breaks and other measures, including special funds to rebuild urban areas, in his White Paper, but was immediately tackled on the special problems of East Lancashire.

Mr Prentice, MP for Pendle, told him: "You've set a target for all social housing to be brought up to a decent standard within 10 years. That is excellent, but what about the private sector?

"One in five houses in East Lancashire is deemed to be unfit for living in, and 99 per cent of those are in the private sector. "More of our housing stock was built before 1919 than in any other area, and that housing is in a dreadful, deplorable condition.

"Is any special help being targeted on East Lancashire because its unique housing problems can be addressed only with additional essential Government cash?"

Mr Prescott, who has been advised on the problems by his Housing Minister Nick Raynsford, who recently visited Pendle and Burnley, replied: "I am aware of the difficulties in your constituency, and the rest of East Lancashire with regard to home renewal problems.

"The housing finance Green Paper attempted to introduce more flexible financial arrangements which we hope will offer an opportunity for action.

"Of course, the taxation arrangements announced by the Chancellor will help with some private accommodation, but not necessarily in East Lancashire.

"I shall consider the matter and, if there is anything to add, write to you."

Burnley MP Mr Pike told Mr Prescott: "I accept the White Paper but to you agree that further thought should be given to helping councils such as Burnley, which has 3,500 empty houses in the private sector?

"Demolition is extremely expensive and there is little site value once those properties are demolished."

Mr Prescott replied: "The renewal of private properties is a particularly difficult problem which you have raised with me three or four times.

"I give you the same response as I gave Mr Prentice. I will write to you and consider how we can further assist in dealing with that problem."

Mr Prentice said afterwards: "We've just got to keep applying steady but insistent pressure on the Government to make sure we get our fair share of the resources available.

"We have housing problems on a scale unimaginable elsewhere in the country."