Chris Evans, who helped organise the event in aid of Children In Need, told a news conference: "Just after 2pm, there was a tragic accident - the result of which was one of the pilots involved in a synchro display lost his life.

"Our condolences go out to his family who have been informed. The event will continue on the advice of the three aviation authorities we are currently involved with as part of the ongoing investigation into what happened.

"The police have also advised us that the best thing, and the safest thing to do, is to carry on with the event - bearing in mind there are 10,000 children here. That's what we're going to do."

The Folland Gnat jet is believed to have been taking part in an aerobatics display with another aircraft when the incident happened at Carfest North at Oulton Park in Cheshire.

In a statement, the event's organisers said it does not believe that any others have been harmed in the incident.

They added: "An aircraft flying with the Gnat Display Team came down approximately one mile north of the site. 

"We have helpfully received images and footage captured by those close to the site, which will aid with the police investigation.Should anyone else have similar photos or video footage, they are asked to keep hold of it in case the authorities request further information."

Eyewitness Neil McHugh told Sky News: "Coming towards the end of it, [the pilots] were doing some spirals - one seemed to lose control and crashed just beyond the north of the circuit.

"Big, black plumes of smoke have gone up behind the trees and all the emergency vehicles from the circuit have raced up towards it.

"It was flying very low at the time when it seemed to lose control.

"It didn't look like he properly had time to eject and because of the angle of the plane turning in the actual loop, the cockpit head was more pointing towards the ground than upwards."

Another eyewitness, who gave her name as Jasmine, said the plane suddenly nosedived and there were screams from spectators as they realised what was happening.

A spectator named Mark told Sky News the plane "just seemed to drop out of the sky."

Onlooker Jonathan Randall tweeted: "Think I've just witnessed a plane crash? Crowd looks glum, confused, concerned. Everyone on their phones."

Emma McEvoy added: "OMG plane crashed right in front of our eyes at Carfest hope the pilot ejected!! Whole crowd went silent!"
Seven fire engines have been sent to the scene, while Cheshire Police are investigating.

The event's website describes it as a "dream of cars, music, food and masses of family fun - a dream conjured up by Chris Evans and brought to life in Cheshire and Hampshire".

The TV and radio presenter had earlier written on Twitter: "I am very sad to announce there has been a serious air incident at CarFest North off site. The emergency services are in attendance."

The event began on Friday and is due to finish on Sunday.