The winning town, village or city will gain official "Walt Disney World Twinned Town" status. The tie-up will be marked with a "magical Disney party" in January to celebrate the twinning.
The competition is being hosted at a where anyone can nominate the place where they live between now and November 22, 2009.
To nominate a town, entrants can write a submission, take photographs, or make a video which can be uploaded on the website.
As an added incentive, the person who submits the winning nomination will jet off to Walt Disney World in Florida with their family and a maximum of four people for the official twinning ceremony presided over by the mayor of Disney's Magic Kingdom.
The winning entry will be selected by a team of judges, including TV star Angellica Bell and Disney executives.
Hugh Wood of Disney Destinations International, said: "Britain has an established tradition of twinned towns and co-operation with its European counterparts, and this is an incredible opportunity to be the UK's first town ever to be twinned with Walt Disney World Resort in Florida."