A SKATE park will close on Sunday, leaving thousands of children with nowhere to go, because insurance premiums have more than tripled.

The Ape Skate Park at Thornaby cannot operate without insurance in case someone is seriously injured.

Owner Roger Awah used to pay £4,500 a year for insurance cover but when he tried to renew his policy, he was told it could increase to as much as £15,000.

Mr Awah is devastated that the business he has built up to serve 10,000 young skaters and BMX riders is facing closure and has warned of the effect it could have on local communities.

"If the skaters don't have this place to come to they will end up back on the streets, which causes problems for people and will cost the council thousands of pounds in fixing the damage the skaters cause to steps and walls," said Mr Awah.

"The park is a happy and safe environment where we have first-aiders in case anyone is hurt but on the streets there is no one to help and members of the public could be injured too. To say I am gutted is an understatement."

The half pipes and ramps at the 27,000sq ft site on Martinet Road are in good condition but Mr Awah must still have insurance in case someone hurts themselves on the site and makes a complaint against the park.

If a complaint was made, insurance investigators would be called in and the excess on Mr Awah's policy means he would have to pay the first £7,500 on any successful complaint against him.

Since the park opened three years ago, two claims have been dismissed and one is still being processed.

Mr Awah was yesterday frantically calling other insurance companies to see if they could offer a more competitive premium.

He believes the only way to save the park, if he cannot get a new insurance deal, would be to charge the skaters a membership fee of about £10 a year but the park would still have to close while this was arranged.

Mr Awah's insurance company QBE International, in London, refused to comment.