REGIONAL assemblies must be given autonomy and proper financial support if they are to play an influential role in areas such the North-East, a Government minister was told last night.

The message, from the Institute of Chartered Accountants, was conveyed to Nick Raynsford, Minister for Local Government and the Regions, at a reception in London.

Institute president Peter Wyman briefed Mr Raynsford on recent research among his members on devolution.

In the survey, 57 per cent of chartered accountants in the North-East said they believed a regional assembly would boost economic growth, but two-thirds of those questioned also voiced concern that devolution would increase tensions with local authorities, as well as increasing bureaucracy and costs.

Mr Wyman said: "The assemblies must be given autonomy and financial support in order to exert proper influence on the regions they would represent.

"If the Government were prepared to resource this second stage of devolution fully, and convince each region that the new model will work better than what currently exists, a great deal might be achieved."

The Institute hosted last night's reception to mark the first anniversary of its ten regional business centres serving the 2,900 members in the North-East and Cumbria.