COUNCILLORS have agreed to stump up more than £500,000 to prevent major plans for the transformation of Burnley's historic Weavers' Triangle from floundering.

The money will used as match-funding for a bid of lottery money of around £6million which will be used to pave the way for what council bosses hope will be a massive investment of private cash in the area.

The council money, and the rest of the £6million, made up of private and public cash, will be used by the Townscape Heritage Initiative (THI) to pay for repairs to some of the historic buildings, manage the project and pay for education and training schemes.

Councillors agreed to hand over the money following an executive meeting this week after fears were raised that without the money the lottery bid would fail.

Attempts to get the cash from other sources, including the North West Development Agency and European regeneration budgets had been unsuccessful.

Erika Eden-Porter, of Burnley Council, said: "To enable the submission to be successful the council is required to ensure all the necessary match-funding is in place.

"However, difficulties in securing all the required public sector match funding from sources other than the council are placing the success of the bid at considerable risk."

She added: "The THI will offer a means to significantly contribute towards the regeneration of the Weavers Triangle which will have a lasting and significant impact on the economic future of the town.

"However, if the council fails to secure match funding commitments, the submission is likely to fail and consequently the Weavers' Triangle will not realise its true economic potential or contribute towards the wider regeneration of Burnley and East Lancashire."

It is hoped that up to £260million will be ploughed into the area, which will see it transformed into a business and education centre, as well as a leisure and tourism destination.

Best-selling author Bill Bryson, author of hits like Notes from a Small Island' and A Short History of Nearly Everything', has said the proposals represent a thrilling' and wonderful' opportunity for the future of the town.

The Weavers' Triangle, beside the Leeds Liverpool Canal, was once at the heart of Burnley's textile industry. It is made up of weaving sheds, spinning mills, foundries and warehouses from the Industrial Revolution - some still in use as business units.

Among the plans are: l £213million being ploughed in from private investors.

l 195 businesses being set up l Creation, or safeguarding, of 4,763 jobs l Building of 315 homes.

It is intended to restore the triangle's links with the town centre by improving pedestrian access to the canal.

The history of the area will be retained and combined with contemporary buildings.

It will be split into four sub-areas: Gateway, Sandygate, Hammerton, and Finsley Gate.

The main elements of the zones would be office space, housing, the creation of landmark buildings around public squares, and canal- related leisure.

Work would start first in Hammerton and Sandygate.

Rossendale-based developer the Hurstwood Group, which owns some of the site, is also working on proposals for restaurants, bars, offices and houses.