HAILED by Prime Minister Tony Blair as a shining example of forward thinking, Innovation House reflects the change in fortune for Wear Valley's economy.

A year ago, the district's leading business and community figures vowed to tackle the sharp decline in traditional industries head-on with an ambitious programme of activities to revitalise, reinvent and regenerate the area.

A business centre, Innovation House,in South Church Enterprise Park, Bishop Auckland, was key to that aim as one of the first projects to be completed.

At its opening, Mr Blair said: "This is a good example of local and central government, agencies and businesses coming together for the good of small start-up firms that can get the help they need to expand.

"The economy is changing all the time and unfortunately jobs willcome and go. These initiatives help to ensure they come again."

Wear Valley District Council, which took the lead on the development, created the centre to attract more knowledge-based enterprises to the area by offering modern premises, in a good location with broadband Internet access.

Designed with smaller firms and new entrepreneurs in mind, help is close at hand with Wear Valley Development Agency (WVDA) based in and managing the building. The building is next to Wear Valley Business Centre so expanding businesses can look to move over the road to larger units if the need arises.

Paul Robinson, WVDA chief executive, said: "The atmosphere in the area is very positive. People feel a change in attitude and a new enthusiasm, they want to make things work.

"There are lots of promising fresh businesses started by local people and the area is enticing people from across the country and overseas."

Before the centre was officially opened by Mr Blair, on Friday, May 14, most of the 16 units were already occupied and extension plans are already drawn up.

Clair Hewitt, principal economic development officer for the district council, said: "We had been reliant on traditional industries, now we making a huge effort to attract more diverse business and job opportunities.

"There has proved real demand for this kind of property, investors searching the region for suitable locations have considered only here and a site in Teesside. The quality of life you get in Wear Valley is a big pulling point in our favour.

"The Wear Valley is attracting such diverse and vibrant businesses now, including a man from Hong Kong who runs Internet exhibitions and a German looking to provide services for amputees."