FAMILIES living in the shadow of Frankland Prison told last night how the discovery of a gun close to their homes had heightened fears over security.

Several hundred residents live in the tiny village of Brasside next to the prison walls and most say they feel secure in their homes, even though the high security prison holds some of Britain's most dangerous prisoners and convicted terrorists.

However, a series of high-profile recent incidents has raised concerns among villagers.

One resident, who asked not to be named, said: "All the residents are worried about terrorists breaking out - everyone is much more worried than we used to be."

Treena Stewart, whose 11-year-old son Elliott was among the group of children who found the gun yesterday, said: "It's usually very quiet and safe round here, but this has shaken me up.

"I wonder what is going on around here."

The prison, which became fully operational in 1983, is a maximum security institution and is home to about 730 male prisoners - about a third of them serving life terms.

Among them are at least two of the men convicted of killing Sharon Beshenivsky, the policewoman shot dead during a botched armed robbery in Bradford in 2005.

Two of her killers - Muzzaker Shah, 26, and Yusuf Jama, 20 - are under police investigation for an alleged attack on a fellow inmate in Frankland.

In July, terrorist mastermind Dhiren Barot, the leader of a British-based al Qaida cell that plotted to murder thousands of people with dirty bombs, was scarred for life when fellow prisoners poured a liquid - believed to have been made out of boiling sugar and water - over him shortly after his arrival at the prison.

Days later, it emerged that the cell of one of the failed July 21 suicide bombers had been set on fire.

Hussain Osman, who is serving at least 40 years, is believed to have returned to his cell to find it had been set alight.

The prison is also home to Omar Khyam, ringleader of an al Qaida cell that plotted to blow up Kent's Bluewater shopping centre using fertiliser bombs.

He has received death threats since his arrival in Frankland, according to his solicitor.