DRAGONS' Den television entrepreneur Duncan Bannatyne said his health clubs and hotels business is in good shape to expand futher, after seeing profits more than double last year.

North-East based Mr Bannatyne, who is a panellist on the BBC2 programme, saw his company post pre-tax profits of £13.8m last year, 131 per cent higher than the previous year.

The group's fitness subsidiary now has 61 health clubs across England, Scotland and Wales, following the £90m acquisition of 24 LivingWell health clubs in October last year - with more potential buys in the pipeline.

Mr Bannatyne said his health club business had now consolidated itself as a national name.

"We want to open another four clubs this year, although planning could slow this down, and we are also looking for more acquisitions," he said.

Mr Bannatyne, who is based in Darlington, opened his first health club in Stockton, in 1997. The chain now has about 180,000 members and 3,000 staff.

There are Bannatyne hotels in Durham and Darlington and another hotel is planned in Norwich. Mr Bannatyne recently announced £15m investment in the hotels, which are aimed at short-stay business customers and tourists.

The business has also expanded into the housing sector with its first residential development under way in Dumfries, Scotland.

Mr Bannatyne said: "With the development of our hotels and the soon to be completed housing project in Scotland, these are exciting times."