ONE in five young people in some North-East towns have been left with nothing to do as Government cuts bite, a new report has revealed.

The Work Foundation think-tank pinpointed blackspots in the country with the highest proportion of Neets, 16 to 24-year-olds who are not in education, employment or training.

A leading training company in the region said the report sent out a stark message that businesses must do more to help young people onto the jobs ladder.

The findings suggests youngsters living in the North are more likely to suffer from fewer opportunities and that the recession had widened the gap with affluent southern shires.

According to the report more than 18 percent of young people in the Middlesbrough area fall into the Neet category. The Great Britain urban average is 16 percent.

Cities with high Neet levels tended to have wider problems, with weak economies, low skills profiles and are often dependent on the public sector for employment, the study said.

Middlesbrough is one of nine towns that have been classified as having high level of Neets (over 18 per cent of 16-24-year-olds). Sunderland also falls in the high category with Newcastle being named in the very high bracket with more than 20 per cent Neets in the city. York, however, was shown to have one of the lowest levels in the country with have fewer than 10 per cent of young people out of work or not in college.

Steve Grant, managing director of Middlesbrough-based TTE Technical Training Group believes the report highlights the challenge facing Teesside to improve work prospects for young people.

TTE delivers a range of apprenticeship programmes, which are designed to support the engineering, oil and gas, manufacturing, process and chemical industries.

Mr Grant said: "Middlesbroughs appearance as a UK blackspot for Neets sends a stark message across Teesside that efforts have to be increased to help young people.

"This year TTE received more than double the applications for the 200 places available on our training programmes. Although many employers in the Teesside area are committed to developing young people by providing apprenticeship opportunities we need more local employers to sponsor apprentices on our trainee programmes.

"The current employment market is tough, but we have to look beyond the short-term to ensure there are enough skilled, competent and motivated new entrants to industry.

"Employers that provide sponsorship for apprenticeships can not only make a difference to the lives of young people, but help safeguard the pool of skilled workers for the future."

The report noted that young people have been hit hard by the downturn, with fewer "entry level" jobs available.

Report author Neil Lee said: "The number of young people who are Neet is one of the UK's most serious social problems. Being out of education, employment or training can have major ramifications, including long-term reductions in wages and increased chances of unemployment later in life."

The report called for a task force to tackle the problem, increased apprenticeships and action to help those stuck on benefits.