PUBS, clubs, off-licences and restaurants across the region could be forced to close by the end of the year unless they comply with new licensing laws.

The warning comes as the industry faces up to regulations which apply to all venues serving or selling alcohol or hosting entertainment and, for the first time, any outlet serving food after 11pm.

With less than eight weeks to go before the national August 6 deadline for applications, experts estimate fewer than ten per cent of food outlets in the region, including takeaways and street traders, have applied for a licence.

The changes have come about under the 2003 Licensing Act, which transfers responsibility for licensing from magistrates' courts to local authorities.

The issue is complicated further by the introduction of personal licenses, which anyone who supplies alcohol through premises must hold.

Terry Hamer, head of litigation and licensing specialist at North-East solicitors Blackett Hart and Pratt, based in Darlington, said: "Ninety per cent of those who have come to me with their plans have required further work before their application can be submitted. We can sort out those issues, but I am concerned for those licensees who as yet have done nothing.

"If they leave it until the end of July and think they can just turn up and a licence will be granted, then they're mistaken. I'm worried that local authorities will be deluged and there are numerous other obstacles that could delay a licence being granted."

In Darlington, only a tiny percentage of outlets have signed up for the new permits.

The town is among the lowest in the region for applications, with less than two per cent of those expected to need licences having applied to the borough council.