BURY is at the wrong end of the great north-south divide with the erosion of its once proud textiles and engineering base to blame.

That's the startling conclusion of research which categorises Bury as one of the towns showing the biggest decline, along with neighbouring Bolton.

But despite the rather negative report, compiled by the University of Southampton, the outlook for Bury's future still remains upbeat.

The research identified towns like Swindon, Hemel Hempstead, Basildon, Milton Keynes and Chelmsford as performing well.

The report found that the vast majority of places which gained in terms of status over the last century were in the southern half of the country and pinpointed factors such as whether a town had a university or college or enjoyed direct rail links with London as a key to success.

And the university researchers say they have unearthed evidence to suggest the north-south divide is much more than a myth. They point to the continued deterioration of Bury and Bolton's manufacturing base, particularly textiles and engineering, as one reason behind the steep decline.

Councillor Derek Boden, Bury Council leader, said: "Here, we are all aware of there being a differential and the gap is widening between us and the south east.

"It's now got to the point in the south east where there is too much prosperity."

He also commented on the fact that the Government gave more Revenue Support Grant (RSG) to local authorities in prosperous areas where salaries were higher.

On the industrial front, particularly the manufacturing sector, Coun Boden added: "I accept that we have suffered a worse decline than most.

"But as for not having a cathedral or university, I don't see we have lost out.

"My general impression, and that of most people, is that even though the character of the borough has changed, considering the loss of the main industries, it's still a good place to live and grow up in."

Coun Boden continued: "Conditions here are improving. Bury is one of the few major urban areas in Greater Manchester, and wider in the Mersey belt, where the population grew quite rapidly for several years.

"It had been rising steadily and that increase has slowed down now."

Commercially and industrially, the council leader said: "I think we probably see our future in terms of smaller business enterprises.

"If we look at the borough in geographical terms, it's the smallest of those within Greater Manchester."