YORKSHIRE and the North-East were yesterday officially declared "low risk" areas for foot-and-mouth disease.

As a result, farmers in the region can move livestock from farm to farm under strict biosecurity measures.

However, the all-important autumn sales - which the region's hill farmers rely on for a large slice of their annual income - still cannot take place.

Richard Ellison, North-East regional director of the National Farmers' Union (NFU), said the restoration of the sales was vital if a crisis was to be avoided.

He estimated that more than 360,000 cattle and sheep were due to be traded in autumn sales at auction marts over the next few weeks.

He said: "This demonstrates how crucial this time of year is - when animals bred on the hills are moved to lowland areas before the onset of winter. While the relaxation of movement restrictions will not see the resumption of the autumn sales, it will allow farmers to trade directly with each other subject to conditions."

The conditions include thorough cleansing and disinfection of vehicles, compliance with animal identification and movement regulations, and a signed self-declaration that the animals are free from signs of the disease.

Mr Ellison said the NFU was working with the Department for Environment, Food and Rural Affairs to achieve further relaxation of regulations as soon was it is safe.

He said: "Our priority is the containment and eradication of foot and mouth, but a resumption of livestock sales would be necessary if a real crisis in the industry is to be averted."

The situation is more complicated after the announcement of a 150km temporary control zone around the premises in Suffolk where the UK's first case of bluetongue was found.

The zone extends as far north as Lincolnshire and Nottinghamshire and prohibits the movement of livestock beyond its boundaries.

Mr Ellison said; The timing could not have been worse, considering we are already grappling with the ramifications of foot-and-mouth."

Tests for foot-and-mouth on two farms in West Sussex and Hampshire proved negative on Monday. However, tests on a herd of cattle slaughtered within the Surrey control zone were positive - making it the seventh case. A third animal at a farm near Lowestoft, Suffolk, tested positive for bluetongue virus yesterday.

Chief veterinary officer Debby Reynolds called on farmers to remain vigilant and check their stock twice a day. She said: "Our aim is to get farming back to normal when the risk is acceptable to do so.