John Prescott's Urban White Paper promises £1bn tax incentives for companies willing to clean contaminated land and develop brownfield sites and a range of other measures to encourage innovation, enterprise and prosperity, and to boost the quality of life for residents in neglected areas.

There will also be new compulsory purchase powers to speed the transformation of derelict sites, new planning rules on architecture and design and more funds for regional development agencies.

The blueprint says the exodus from our major cities must be reversed. Manchester City Council leader Coun Richard Leese welcomed the proposals and said: ''Manchester has created a city of international significance through its regeneration initiatives and has sought to ensure that all our citizens reap the benefits.

''There is much more to be done. The White Paper confirms the key role cities have to play in creating prosperous regions which contribute positively to the nation's competitiveness and wealth.''

Helen France, of the North West Development Agency, said: ''The incentives to businesses and agencies like ourselves to develop on brownfield sites are to be welcomed. They will also ease pressure on the green belt.''

Development consultant Les Lang, of Saddleworth, said: ''The White Paper brings urban regeneration and the development of brownfield sites into the mainstream.''

But Gerry Hughes, head of urban regeneration at consultants GVA Grimley, said: ''The White Paper is long on vision, but lacking in substance. It falls a long way short of delivering the kind of public sector funding commitment that is required to drive forward regeneration in places like East Manchester.

''And it does not address the issue of the loss of gap funding for developments, which has been ruled contrary to European rules.''

''Tax incentives are important, but won't make much difference to decisions about whether to invest in many of the high risk, hardest-hit areas.

''The government has picked up on some easy things, but has failed to tackle the big issues.''

Priorities detailed in the White Paper include facelifts to East Manchester and Ancoats. Schemes in Castlefield, Hulme and Salford Quays are praised in the document.