UP to 2,500 new jobs could be created after council chiefs closed a deal to buy a key piece of land at Buckshaw Village.

The purchase of the 20-acre site near Chorley is the beginning of an initiative that will see a 100-acre employment area grow on the former industrial land.

It was just one of 25 sites across the region identified by North West Development Agency (NWDA) bosses as a Strategic Regional Site -- which are seen as vitally important to the future expansion of the area's business opportunities.

The council received a grant of £1.3 million from the agency to buy the land where the Royal Ordnance Factory previously stood.

work has already begun to prepare the site, which will be reached via a new £1.5 million link road from the A6, for which the council's regeneration chiefs will shortly apply for planning permission.

Council leader Jack Wilson said: "The Buckshaw Village project is a pioneering initiative which I am very proud to be associated with.

"On one side the council has partnered with housing developers Redrow and Barratt to provide new homes, for hundreds of people in one of the most picturesque areas of our borough.

"On the other side, the Strategic Regional Site promises to create a first-class facility for businesses that will, in turn, boost our economy and bring jobs into Chorley.

"The purchase of this piece of land was paramount to the success of the project. I am delighted we have been able to work so productively with both BAE Systems and the North West Development Agency to ensure the future of this ambitious development reaps the very best for everyone."

Future plans laid out under the scheme to create Buckshaw Village as a "sustainable environment" involve the whole of the Strategic Regional Site being used for business development, with the appropriate infrastructure including roads and services being put in place as soon as possible.

The master plan shows six large plots which could create more than one million sq ft of new factory and office floor space as well as some 2,500 new jobs.

This vision links in with the residential side of the project, where plans outline a village centre with shops, a school and transport links including a railway station for residents.

Ian Whittaker, NWDA area manager for Lancashire, said: "This is a crucial project which will create a premier business location and provide a wealth of employment opportunities for the local community."

Chorley MP Lindsay Hoyle added: "People here need quality houses and jobs and it is good news to see that the council and other regional partners can work together to bring them into the village."