THE government today gave its clearest indication yet that huge sums of money are on the way to tackle East Lancashire's derelict and decaying Victorian houses.

Regions Secretary Stephen Byers announced that the area's towns are to be included in one of nine "pathfinder" areas to tackle abandoned properties, with residents and local organisations helping to develop action plans.

But outraged Rossendale MP Janet Anderson today demanded an explanation about why the borough has been left out of the scheme and claimed its problems were just as bad as other areas.

Although there is no financial figure attached to the move, government sources made clear that Chancellor Gordon Brown was "sympathetic" to East Lancashire councils' bid for £670million over 10 years to tackle its housing problems.

Local MPs have welcomed the news as a step forward in the campaign for cash to revitalise huge areas of East Lancashire, where there are 48,874 properties deemed unfit for human habitation.

Pendle's Liberal Democrat Peer Tony Greaves also applauded themove although he warned that the "devil will be in the detail" and questioned whether enough money would be available to make a difference.

The announcement that Blackburn, Hyndburn, Burnley and Pendle will be one of the pathfinder areas follows a visit to the area by Housing Minister Lord Falconer last October when he was shocked by what he saw.

Mr Byers said the announcement was a major step to put the heart and soul back into rundown housing areas.

He said local residents and organisations would get the opportunity to work with the government to revive areas where boarded up and abandoned homes have led to a spiral of decline and misery.

He said: "This will be considered as part of the government's Comprehensive Spending View to be announced in the summer."

Hyndburn MP Mr Pope said: "This is a huge step forward.

"Lord Falconer came to the area at my invitation in October and was very concerned and this is the first result of that visit.

"The people of East Lancashire have been let down on housing by both Labour and Tory governments. I am delighted that at last a government is ready to take action.

"My only regret is that Rossendale, which has many of the same problems is not included in the pathfinder area."

A government spokesman said Rossendale had missed out because it sproblems were not as acute as other areas.

Rossendale and Darwen MP Janet Anderson said: "While I welcome the initiative in general, I am furious that Rossendale has been left out. It seems to me to fit every single one of the criteria.

"What on earth going on? I'm particularly angry as Lord Falconer came to Rossendale and saw for himself the problems.

"I shall be making urgent representations to him and Mr Byers to get Rossendale included. I just don't understand why it has been left out."

The other pathfinder areas are in Greater Manchester, Merseyside, Oldham/Rochdale, South Yorkshire, Humberside, Tyneside, North Staffordshire and the West Midlands.