BUSINESSES across the North-East and Yorkshire are haemorrhaging more than £110m each year due to energy waste.

The Carbon Trust, the national body set up to cut carbon emissions by business and public sector organisations, yesterday launched a national campaign to highlight the issue as part of its Action Energy initiative.

It said that nationwide, more than £1bn was wasted due to inefficiencies and poor energy management.

Called Lifeblood, the campaign said British small businesses were wasting as much as 30 per cent of their energy.

With small and medium-sized enterprises (SMEs) footing an annual energy bill of £3.5bn, this amounts to a loss of £7,000 per business.

A series of hard-hitting Press and television advertisements is anchoring the campaign. The adverts depict blood seeping from office equipment including PCs, photocopiers and air conditioning units.

Dr Garry Felgate, director of Action Energy at the Carbon Trust, said: ''Put simply, energy is the lifeblood of British business.

''Without it, a business could not operate.

"This campaign uses powerful images to show SMEs just how much energy they are wasting, something which directly affects their bottom line.

''Even simple measures, such as insulating a roof space or lowering office temperatures by just one degree, can significantly reduce heating bills.

''We hope that this new campaign will drive many more small businesses to take action and save money.''

He said: "The Lifeblood campaign is about raising the awareness of energy efficiency and driving businesses to take action. It is necessary and powerful."

An Action Energy helpline, on 0800 9173030, has been established to give advice and assistance to businesses .

Firms can also go to www.actionenergy.org.uk for more energy saving advice.

The £3.6m advertising campaign will run for the next three weeks.

The Carbon Trust is a government initiative designed to help the UK meet its climate change obligations.

It creates practical business-focused solutions to carbon emission reduction.

Businesses that have identified opportunities for energy savings but cannot afford to pay for the changes, can apply for an interest-free Action Energy Loan of between £5,000 and £50,000.