Hopes of setting up a permanent community radio in Otley have been dashed after an application for a full-time licence was turned down.

Wharfedale FM was one of hundreds of local stations from around the country to apply for a licence which would give it the freedom to go live whenever it chooses.

The refusal has come as a blow to the station's organisers who believe they have already proved themselves with a series of temporary licences.

And they say they are still waiting to find out why they have been turned down despite the fact they have already successfully run the station for special events since 2001.

Broadcaster and former town mayor Nigel Francis said they had been given no reason as yet for the refusal and were unlikely to learn why their application had been turned down until next year.

A disappointed Mr Francis said they had paid more than £600 to register as a limited company after being told it was a prerequisite for the licence, and had also had to pay a non-refundable application fee of £600.

And he claimed the application process itself was a "shambles" - with the wrong forms being sent out and a lack of information forthcoming.

Hopes were high earlier this year that the application, which was submitted to Ofcom, would be successful.

Wharfedale FM has run off and on for two-week periods over the last four years, to coincide with events in the town such as the Victorian Fayre.

Each time a temporary licence is needed it costs £1,250 - but a permanent licence would cost the station at least £600 a year less whilst giving it the freedom to broadcast whenever it chose.

Mr Francis said the first inkling that there might be a problem came when Ofcom contacted the station several weeks ago.

"Months after they should have issued the licence they said there were not so many vacant spots and it would be hard to allocate licences," he said.

"Then they rang and said they could not give us a licence.

"The whole thing seems to be a shambles, and it is disappointing because we have done four RSL licences. They have all been successful, and we have had no complaints."

He added: "I was a bit baffled because someone from Ofcom just rang out of the blue and said I am sorry to tell you you have been refused a licence. She said we are going to compile a report and you will get that next year. They were very offhand."

"We have absolutely no idea why we have not got one."