THE North-East's regional development agency has welcomed an extra £50m it is to get for its regeneration efforts.

Chancellor Gordon Brown announced a 4.5 per cent increase in funding for regional development agencies in his comprehensive spending review earlier this week, while asking them to take on responsibilities for tourism, transport, housing and planning.

Dr Bridge said: "We have been presented with an exciting and challenging agenda. We are being offered more money, more freedom to determine our own regional priorities and more responsibilities.

"These additional resources and responsibilities will greatly assist the North-East in realising the ambitions within the Regional Economic Strategy.

"Over the next three years, direct funding is likely to rise by about £50m, not only providing more money for One NorthEast, but more for our partners in the four sub-region-al partnerships. This is a great vote of confidence in One NorthEast and what has been achieved in the region so far."

The Government is providing £2m through regional development agencies for regional tourism which will take effect from next April.

A further £4m will be made available from 2004 to commission transport studies via Regional Planning Boards.

New regional frameworks for housing and planning will include regional development agencies, along with partners.