A MARKET town is to be added to the Intercity rail route - but warnings have been issued that the town could lose out on trade unless there are more hotels.

Virgin Trains has announced that its high-speed trains will stop at Chester-le-Street.

But station master Alex Nelson said that unless more accommodation can be provided, the town could miss out on a chance to become a base for the region's tourists and business visitors.

Virgin decided to add the town to its Intercity network after a review of rail routes in Britain by the Strategic Rail Authority, which is looking to ensure there are not too many trains on the busiest sections of rail, and improve train reliability.

The 100mph Virgin trains will replace some of the slower, local trains during off-peak hours and will mean passengers can travel directly from Chester-le-Street to destinations such as Bristol, Birmingham and Manchester Airport.

Chris Green, chief executive of Virgin Trains, visited Chester-le-Street station last Friday, where he spoke with Mr Nelson about introducing the service in May next year.

Mr Nelson is also head of independent company Chester-le-Track that runs the station.

Town centre manager Christine Davies said: "I desperately want to get a hotel in the town, because it's all very well and good getting a Heritage Trail set up to attract visitors and Virgin trains stopping, but we need major accommodation to house them in."

Allan McLean, regional corporate affairs manager for Virgin Trains, said 13 trains a day would stop at Chester-le-Street.