NORTH-EAST firms say plans for regional government will simply set up a "talking shop".
A North-East Chamber of Commerce survey of nearly 200 companies shows a majority are unhappy with the White Paper proposals.
They don't believe the plans give the proposed elected assembly sufficient powers to make a real difference to the region.
Only 28 per cent believe they will deliver value for money and more than half say the plans will only produce another layer of government.
More than 88 per cent of the firms surveyed want central government to be more accountable to the region and 70 per cent would like regional government.
Chamber chief executive Michael Bird said: "The survey indicates that business likes the principle of regional devolution but doesn't like the proposed practice.
"Added value would only come when enough power to make a difference is devolved.
"As they stand, the proposals would give an elected assembly direct control of only about £350m out of £12bn of government expenditure in the region each year. That hardly scratches the surface.
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules hereComments are closed on this article