GANGS which cash in by staging car crashes are more rife in Blackburn than anywhere else in England, according to new figures.

Research by the Insurance Fraud Bureau (IFB) has revealed that an estimated 1,710 of the accidents' have taken place in the town since 1999 - the highest in the country.

The accidents mainly involve fraudsters performing unexpected, unnecessary or dangerous emergency stops designed to cause innocent members of the public to crash into them.

An insurance claim is then made, including several accounts of fictitious injuries.

Each successful scam can net criminals up to £30,000, and the IFB said there was increasing evidence the money was used to fund other serious and organised crime like drug trafficking.

Bosses at the IFB said figures were put together by looking at claims where the same names and areas often came up. Figures for other towns in East Lancashire were not available.

Police at the road policing unit which covers Blackburn said they did not know why the rate was so high in the town.

Sergeant Keith Jackson said: "We work closely with the insurance companies, and there are a number of ongoing operations and investigations.

"We have been provided with information that people who are amenable to be involved in collisions, in which both parties are to make a claim, are putting black ribbons on the back of their cars.

"From a personal point of view we could do with working in closer partnership with the insurance companies and maybe even consider setting up a special unit or ringfencing money - particu-larly if Blackburn is an area of concern."

He said although these accidents involved alleged injuries most were not reported to the police as they should be under law.

He also said that gangs tended to meet on industrial estates to stage accidents.

John Beadle, chairman of the IFB, added: "The criminal gangs targeting honest motorists are ruthless and innocent lives are being put at risk.

"We must take a rigorous approach to this significant national problem which is impacting many cities across the UK and requires an urgent solution.

"The key is collaboration between the insurance industry, police, public bodies and the general public."

Blackburn is followed in the league table by Bradford with 1,669 cases, then Birmingham with 1,510.

The only other location in Lancashire to appear was Preston in eighth position with 731.

The IFB also estimated that fraudulent claims add around five per cent to the premiums paid by the honest public.

If caught the gangs could face money-laundering charges which carry a maximum sentence of 14 years.