A PLAN to shift 20,000 civil servants out of London to boost economic growth in the North has been delayed after they refused to move.

Chancellor Gordon Brown announced yesterday that the long-awaited report by the Lyons Review had been put back from the autumn to March next year.

The Treasury admitted the delay was to allow "close engagement" with Government departments that needed a "better understanding of the opportunities" of moving out of the capital.

At least three departments are believed to have received a terse letter from Sir Michael Lyons, who is conducting the review. They were told the number of staff they planned to relocate was "disappointing" and ordered to think again. Some must double the number to hit their targets.

In September, The Northern Echo revealed that a study by King Sturge, the international property consultants, had suggested Darlington as a contender for relocated public sector jobs.

The Town and Country Planning Association urged the Government to target railway towns and cities, such as Darlington, Durham and York.

A spokesman for Chancellor Gordon Brown insisted the delay would not weaken the Government's determination to move the jobs.

About 230,000 civil servants - about a third of the total - are based in London and the South East, a tally that has grown by four per cent since 1997.

David Curry, Tory local government spokesman, said an extra 20,000 civil service jobs had been created in the past 12 months alone.

He said: "What the Government seems incapable of doing is making sure that the regions get their share of whatever benefits there might be from these jobs."