EVESHAM is one of the most profitable places in Britain to do business, according to a major national survey.

The town has come fifth out of more than 430 towns and cities listed and improved its placing on last year, moving up from sixth position.

The research, which covered 250,000 companies nationally, was carried out by information services company Experian which analysed profit margins and companies' profits or losses to draw up a league table.

In common with most towns and cities surveyed, Evesham saw overall profit margins fall between the years 1999 and 2000, with the percentage of companies making profits also down.

Evesham was just below Gloucester in the table, with Worthing in West Sussex topping the poll.

"This survey confirms the extent of the slowdown in the economy throughout the country," said Experian spokesman Peter Brooker.

"Of more than 430 towns and cities surveyed, 39 suffered an overall financial loss compared with 24 in 1999 and 233 - over half - saw their average profit margin decline against the previous year."

The chairman of Evesham Chamber of Commerce, Robert Johnson, welcomed the town's performance in the survey.

"I've always maintained that Evesham is a good place in which to work, a good place in which to run a business and a good place to visit", he said.

Mr Johnson added that the survey results backed his view and Vale Park was doing "tremendously well" from an industrial viewpoint.

He explained that there were encouraging signs for Evesham's future prospects.

"Inquiries for commercial property are probably up by 50 per cent on this time last year," he said.

"Existing businesses are expanding and moving into larger premises as well."

He hoped Evesham could fare even better next time the survey was conducted, adding: "We'll aim for number one next year."