Organisers say Enterprising Britain is a nationwide event to find the most enterprising place in the UK, "a place where enterprise has, over the last two years helped transform a community and led to improved economic prospects for the area".

The town will now represent the region in the search to find the most enterprising place in the UK.

Ray Williamson, Scarbor- ough Council's head of regeneration services, who helped to compile the town's application, said: "Obviously we're delighted to have come out on top in this regional competition. Towns from all over Yorkshire and the Humber submitted applications and a shortlist was drawn up.

"We found ourselves up against bids from Leeds, Rotherham and Bradford and David Archer, the council's strategic director, Adrian Riley, from Electric Angel and Andrew Clay, director of Woodend Creative Workspace, gave the final presentation on the town's behalf.

"They did a fantastic job and the judges voted unanimously to put Scarborough through to the next stage of the competition."

The competition is organised by The Department for Business, Enterprise and Regulatory Reform and if the town wins the national title it will represent the UK in a competition to find the most enterprising town in Europe.

Mr Williamson said Scarborough's submission was based upon the achievements of the town's urban renaissance project.

"In 2002 Scarborough stood at a crossroads. Like other UK coastal towns economic decline in recent decades had created a climate of stagnation and inertia," he said. "Work had taken place in an attempt to restructure the local economy, but a more radical boost was required to kickstart the whole community to change the face and fortune of Scarborough and its residents.

"The catalyst for change happened with the designation of Scarborough as an Urban Renaissance Town, which led to a first step being taken in the form of a Community Planning Weekend in 2002.

"The event attracted more than 1,000 people from all parts of the community and acted as a rallying call for all to take up the opportunity and challenge to change Scarborough for the better."

Mr Clay said: "I didn't really know what to expect when we went to give our presentation but the judges seemed won over by what we had to say.

"The original document to come out of the planning weekend in 2002 was called Kissing sleeping beauty. our presentation emphasised the change which had taken place in the town and was called Waking sleeping beauty. I think the panel was impressed by that notion."

John Burroughs, the council's regeneration project officer, said: "Scarborough is now acknowledged as one of the leading exponents of seaside regeneration and has become a role model for other places."