Worthing has retained its crown as the most profitable town in Britain, a survey claims today.

The resort keeps its status for a third year despite suffering a poor tourist season last summer and major job losses at the Daewoo plant at Lyons Farm.

The average profit margin of companies in the town fell from 25.74 per cent to 22.29 per cent.

But information services company Experian also says the average profit margin of businesses in Britain has fallen from 6.23 per cent in 1999 to 5.96 per cent in 2000.

Experts said the results confirmed the extent of the slowdown in the economy.

Brecon in south Wales was runner-up for the second year running, beating off competition from Selby, in Yorkshire, third, Gloucester, fourth, and Evesham in Worcestershire, fifth.

Scotland's most profitable town, Perth, was only 34th in Britain.

Most of the top 50 towns are in the South of England, with 11 each in the South West and South East.

The biggest improvement was among companies in Lewes, which advanced from 402nd place (0.32 per cent) to 6th position (15.9 per cent).

Worthing Council's head of economic development, Tim Preston, said the report reflected the "impressive" performance of some Worthing companies but "masked" the problems of low wages and deprivation in some parts of the town.

Sue Savill, marketing manager for the town's Enterprise Centre, said there was a diverse range of businesses and services in Worthing which helped account for its profitability.

She said: "Worthing used to have a reputation as being just for old people, but that has totally changed now. It is very easy to commute to London and you are not that far from Gatwick. We are very well placed here."