England

Regional development agency One NorthEast is axed

The regional development agency One NorthEast, which helps support local businesses and generate jobs, is to be scrapped.

The government has confirmed its intention to replace RDAs with Local Enterprise Partnerships.

The process will begin with a white paper to be published later in the summer.

A spokeswoman for the agency said it would continue to support economic development until it was replaced.

Margaret Fay, chairman of One NorthEast, said: "The detail included in today's Budget documents about the abolition of regional development agencies is consistent with what the government has said from its earliest days in office that RDAs as they currently exist will be replaced.

"We are currently awaiting further detail from the new government on its plans to continue supporting economic development in the North East.

"Business leaders, local authorities and the universities in the North East have given their backing for strategic economic activity to continue at a regional level.

"We will continue working closely with partners to make sure our private sector can make the most of the opportunities available in the years ahead."

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