WREXHAM dropped more points in the race for a top-three finish in League Two after losing 1-0 against rivals Tranmere Rovers at The Racecourse.

Having drawn 0-0 at home to Harrogate Town last Tuesday, Phil Parkinson's men again struggled to create clear cut chances and lacked a cutting edge in the final third in the derby with Rovers.

Although still third in the table, Phil Parkinson's men are now five points behind leaders Mansfield Town.

Wrexham are on the same number of points as second placed Stockport County, who have two games in hand, while MK Dons are fourth on the same tally as the Reds who have played a match less.

The Reds have eight games remaining in the push for promotion.

Parkinson made two changes from the side that started the goalless draw with Harrogate Town in midweek.

James McClean, who has been playing in midfield, picked up a 10th yellow card of the season in the stalemate and was starting a two-game ban so captain Luke Young came back into the team.

The other change was in attack where Steven Fletcher was preferred to Ollie Palmer who dropped to the bench.

There was also a place among the substitutes for Tom O'Connor who missed the previous 12 games after suffering a minor foot fracture ahead of the Welsh derby against Newport County on January 20.

Wrexham made a lively start and Young's volley was blocked by a defender following a decent move while Luke Norris fired wide for Rovers.

But Tranmere took the lead in the eighth minute.

Luke Norris raced onto a brilliant long ball over the top by Regan Hendy and got the better of Andy Cannon, who was unable to clear his lines, before slotting past Reds' keeper Arthur Okonkwo.

Wrexham responded with Young's shot from outside the area turned away by goalkeeper Luke McGee but Tranmere came close to making it 2-0 when Hendry's free-kick was headed towards goal and Cannon made a vital clearance under his own crossbar.

Although Tranmere were put under sustained pressure with Wrexham well on top, the home side lacked a cutting edge in the final third and struggled to create clear cut chances.

Eoghan O'Connell's header from Young's corner was comfortably saved by McGee and the Reds continued to get into some decent positions.

Paul Mullin headed narrowly wide from Ryan Barnett's cross, Fletcher's effort deflected behind for a corner and Young's 20-yard shot appeared to take a deflection and went over but no corner was given.

It remained 1-0 to Tranmere at the break and Wrexham continued to go at Tranmere when the second half kicked off.

Fletcher's volley was blocked in the area after Rovers failed to clear a free-kick while Elliot Lee seized upon Brad Walker's misplaced pass and after his first effort was blocked, the playmaker hesitated with his follow-up and the opportunity went begging.

Wrexham continued to press and Sam Dalby was unable to get on the end of Lee's superb low cross and Tranmere cleared, and the striker also headed wide from Barnett's delivery.

Rob Apter failed to hit the target with a rare chance for Tranmere and Jordan Davies was unable to test McGee with a free-kick which went wide at the other end.

Wrexham came close when Lee's shot took a deflection but McGee did well to tip the ball over the bar and Davies was not far away with a 25-yard drive.

Time got the better of Wrexham who suffered a rare home loss.

Wrexham (5-3-2): Okonkwo; Barnett (Bolton 69), Cleworth, O'Connell, Boyle (Palmer 64), Mendy; Young (Davies 64), Cannon (O'Connor 79), Lee; Mullin, Fletcher (Dalby 64). Subs not used: Howard, Tozer.

Tranmere Rovers (4-4-2): McGee; O'Connor, Turnbull, Yarney, Wood; Apter (Lewis 76), Walker, Hendry, Saunders (Morris 90); Jennings, Norris (Dennis 71). Subs not used: Murphy, Hawkes, Merrie, Belehouan.

Attendance: 12,519 (1,151 from Tranmere).