YORK'S leaders have spoken of their dismay and disappointment at the decision not to site Britain's new railway headquarters in the city - and clashed over who was to blame.

York Central Labour MP Rachael Maskell expressed her 'extreme dismay' at the Government decision to locate Great British Railways' HQ in Derby rather than York.

She said it further added to her serious concerns about the competency of City of York Council in relation to planning and economic development.

She claimed the campaign to secure the HQ had been 'lacklustre' and there was a pattern of the council refusing to work collaboratively with other stakeholders, adding: "This is coming at a significant cost to jobs in our city."

The council's Labour group leader, Cllr Claire Douglas, said the Government had been clear that a unified approach would be required to be successful in attracting GBR HQ, but claimed the LibDem administration chose at times to exclude the city’s two MPs from events designed to drum up support from the public for York’s bid.

She said it had apparently been more important to have the endorsement of a London Liberal Democrat MP - a reference to LibDem party leader Ed Davey.

"This is one in a long line of mis-steps for the retiring council leader, and hopefully for York’s sake it will be Cllr Aspden’s last," she said.

However, council leader Keith Aspden said it was 'incredibly disappointing and disingenuous for the Labour group to now start pointing fingers and assigning blame for the bid unfortunately not succeeding.'

The LibDem councillor said: "They are really grasping at straws now. Given the Labour candidate for York Outer is a London councillor, they should be comfortable enough with Ed Davey’s support.

“I’m proud that York’s bid had the backing of the whole city and wider North Yorkshire – from residents to business, health, culture and political leaders – we were all rightly united in our aim to bring GBR HQ to York."

Cllr Aspden said the decision was 'of course disappointing news for York and the North of England' but said the move of hundreds of new civil service job to York had already been secured and work continued to establish a Government hub on the York Central site.

He also claimed the way the contest had been run by the Government was an 'absolute shambles,' adding: "The contest became little more than a headline and election boost to marginal Tory seats."

York Outer Conservative MP Julian Sturdy said the decision to overlook York was 'incredibly disappointing' and 'one the Government may come to regret.'

He said: "With over 10 per cent of the rail workforce already based in York and our central location, in my mind there was simply no better city for Great British Railways to call home."