TOURISM in the region is gradually recovering from the combined effects of foot-and-mouth and September 11, according to new research.

But the latest figures published by the English Tourism Council also paint a picture of an industry still in a fragile state.

The findings showed that UK residents taking holiday trips in England from January to May of this year marked a 15 per cent increase to 52.4 million with spending up by 21 per cent to £7.7bn compared with the same time last year.

In Northumbria, statistics revealed that both the foot-and-mouth outbreak and the terrorist outrages saw a decline in trips to the region of about 23 per cent.

Takings from holidaymakers visiting Northumbria were £110m less last year compared to 2000, showing the huge impact on tourism in Northumberland, Durham, Tyne and Wear and Teesdale.

But this year the region has seen the tourism industry recovering with a marked improvement.

Holiday occupancy levels are showing an increase, with 54 per cent of those involved in the tourism business indicating that visitor demand has increased.

But a spokesman for the English Tourism Council said that the increases were still only in line with the 2000 levels and added: "The industry is still facing lost growth that it would otherwise have achieved between 2000 and 2001 and 2001 to 2002.''

The fragility of tourism's recovery was also revealed in the quarterly tourism and leisure development survey which shows a slight fall in optimism for the second quarter of this year.

The survey indicates that nationally an encouraging 68 per cent of businesses say they have now recovered but the number that do not expect to be back on target until next year has increased from ten per cent to nearly 23 per cent.