ONE of the achievements for which Tony Blair's first Government, in which I was proud to serve, will rightly be long remembered is that of devolution.

The creation of the Scottish Parliament along with the Welsh and Northern Ireland Assemblies represents a radical decentralisation of political power in Britain.

But devolution can and should go further. Our own North-East in particular should be a beneficiary - and not just a spectator - of these events.

I have long believed in the case for North-East devolution and the creation of a North-East regional assembly. I have witnessed and supported the growth of the Campaign for a North-East Assembly and the important work of the North-East Constitutional Convention. My time in the government has strongly reinforced my belief that regionalisation is the way of the future.

Our region has special reasons for urging swift action on the part of the new Labour Government. The challenges that face the North-East are great. Economically, our position continues to lag behind the UK as a whole. Politically, many in the region feel that government is remote and the importance of finding ways of making politics relevant to people is therefore pressing. Devolving more power to the regions and localities can help tackle this.

In my view the case for regional government rests on a number of arguments. Firstly, economic. Examples of regional government elsewhere show that when businesses, local authorities, educational and training establishments and the other sectors of the economy work together in a regional context, the regional economy prospers.

Not only are businesses from outside attracted into the area but such co-operation provides a stimulus for economic activity already based in the region. Regional government is important for jobs and growth.

Secondly we need a much stronger regional voice in the corridors of power- Don't forget that Scotland, Wales and Northern Ireland, besides having their own regional democratic bodies, also have their own Cabinet Ministers and powerful structures within Parliament at Westminster. Important debate, about where government funds are spent are already on the agenda. We need to ensure that the voice of our region backed by the democratic will of its people is heard in these debates and that the policies decided upon reflect our needs. This is vital if our region's priorities in industrial, rural, transport, health and education policies among others are going to be properly recognised.

Thirdly an assembly would provide the missing democratic element to the regional structures that we already have. I know from my own time in government that central government departments increasingly are regionalising their activities but in a way which is largely unnoticed by the populations of the regions themselves.

It is important to stress this since the objectors to regional government often say that they don't want yet another bureaucratic tier. However we already have a Government office for the region, and the administration of many central government policies at regional level. So a regional tier exists - what does not exist is a democratically elected regional institution which could have its say about - and its influence over - the work of this existing regional tier. We want to add democracy not bureaucracy.

Finally our own assembly could help generate a strong and common sense of purpose to equip the region for the challenges ahead. It would trigger public interest - and participation - in the debates about our future economic and political direction.

England is a large country in terms of population and has up to now been highly centralised. Indeed even if Scotland and Wales had not wanted devolution there would have been a powerful case for English regionalisation.

However Scotland and Wales have shown us the way forward and this could be followed by the North-East pioneering the process in England.

Of course this would need to be supported by the people of the region themselves and I therefore support the Government's view that a referendum in the region would be essential before any assembly begins its work.