HARTLEPOOL is the most profitable town in the North-East for the second year running, a survey has revealed.

The town comes sixth in a survey of small businesses, moving up one place from last year.

Middlesbrough is 27th and Darlington 63rd in findings that indicate business is booming across the UK, despite the average business seeing a fall in profits.

The survey by business analysts Experian takes the figures from more than 100,000 SMEs (small and medium-sized enterprises) in 400 towns across Britain.

Most of the 50 most profitable towns were in the South.

Scotland and Wales each had one town in the top 50, the East Midlands, West Midlands and South-West had three and the North-East had two. There are none in East England.

SMEs in Bexleyheath in south-east London topped the annual survey for the second year running, increasing profit margins from 13.5 per cent to 15.8 per cent last year.

But not all business is booming. The survey also found that 57 of the 400 towns failed to make a profit at all last year, an increase of three from 2000.

Middlesbrough went up from last year's position of 84th, while Darlington made up nearly 180 places in the past 12 months.