Derbyshire Police have confirmed they did not find a suspicious package after bomb disposal experts were called out to the Clay Cross area earlier.
Officers arrived in Victoria Street at 2:25am following reports of a suspicious car.
Two men with the car were arrested, one of the men told police there was an explosive device inside the vehicle.
The pair are due to be questioned later today.
Around 50 homes in Clay Cross, Derbyshire have been evacuated and the Army Bomb Disposal unit called in following a security alert.
Sources at Derbyshire Police have confirmed to ITV News Central that a car is at the centre of a security alert in Clay Cross in Derbyshire.
Eyewitnesses living around Victoria Street have described seeing a vehicle filled with petrol cans.
Army bomb disposal experts are still at the scene.
People living in the Victoria Street area of Clay Cross of Derbyshire have been moved to a leisure centre after reports of a 'suspicious package'.
Derbyshire Police say around 50 homes have been evacuated and an army bomb disposal team is on the scene.
People living in approximately 50 homes in Clay Cross have been moved to Sharley Park Leisure Centre after a 'suspicious' package was found.
Officers were called out Victoria Street at around 2:25am.
The nearby leisure centre was opened at around 5am.
Derbyshire Police have confirmed bomb disposal experts have been called to Clay Cross after a suspicious package was discovered.