Derby City council is to submit a bid to the Government to designate three “clusters” in Derby as enterprise zones. They cover 326 acres and would create thousands of jobs.

A spokesman for the authority said: “The aim of this is to foster economic development, not just in manufacturing. Our hope for the enterprise zone is to create 12,300 jobs.”

The three areas would incorporate five sites in the city centre, a 150-acre site in Sinfin Moor and land at Chaddesden sidings grouped together with Derby Commercial Park.

Business rate discounts offered in those areas, if enterprise zone status was confirmed, would last for five years or up to a limit of £275,000 per business, as set by the European Union.

In the city centre, the aim of what is being called the city growth cluster would be to entice companies to move into a number of new office developments, all of which have planning permission but no confirmed occupants.

They are the Cathedral Quarter enterprise area, a proposed office block in Cathedral Road called Central Square, another scheme in the former magistrates’ court in Full Street, developer Norseman’s One Derby office scheme for London Road and the City Gate offices, also in Cathedral Road.

The 150-acre site in Sinfin Moor would be designated as a global technology cluster and would capitalise on Derby’s reputation as a home of hi-tech engineering companies.

The Chaddesden sidings land and Derby Commercial Park would form an environmental cluster to capitalise on the emerging environmental sector and technology surrounding it.

George Cowcher, chief executive of Derbyshire and Nottinghamshire Chamber, said: “The three clusters are areas where Derby wants investment and has strengths in.

“Technology is what Derby is famous for and there is an abundance of it.

“But it wants to expand on that and the environmental sector is growing.”

The Government announced that 21 enterprise zones would be created throughout the country.