THE North-East and Cumbria are among areas targeted by a £15m package of short-term aid for those worst-hit by the foot-and-mouth crisis.
The cash, announced by rural task force chairman and environment minister, Mr Michael Meacher, complements £8m already pledged by regional development agencies for these areas and builds on the first package of short-term aid and the £120m extension of the small firms' loan guarantee scheme.
The aim is to fund marketing and campaigns to bring visitors back; to help threatened but otherwise viable rural businesses and to support local regeneration partnerships to begin the process of long-term recovery.
North Yorkshire is not in line to receive any of the £15m and the county council has sent a plea to the government for help for businesses affected by the crisis.
A large proportion of the county has been declared an infected area, with 17 cases of foot-and-mouth, and the council has written a number of times to the government, outlining the severe economic problems.
Coun Tim Cole, deputy leader of the county council welcomed government funding for rural businesses but said: "I cannot understand why the largest rural county in England should be excluded.
"The effect on businesses throughout North Yorkshire is as serious as anywhere else in the country. Already it is too late for many businesses, but the government must react now to ensure that the economy in these areas is not devastated by lack of support."
The county council is establishing a rural task group to bring together businesses and relevant organisations to deal with problems caused by the crisis.
The North-East committee administering European funds in the region has agreed to allocate £1m immediately to help tourist and other businesses in the rural economy.
Mr Jim Darlington, acting director of the government office for the North-East said: "We are open to applications from tourist and other rural businesses which think they may be eligible and have projects in mind to help revive trade. They will be able to get help, for example, with business consultancy, grants, marketing and promotion."
To apply for help, contact 0845 600 9006.
County Durham Business Link has warned that many of the county's traders may not survive the next few months and is offering support with a series of seminars on cashflow management, diversification, marketing, short-term job opportunities and debt management.
Mr John Atkinson, business improvement consultant, said: "The tourist industry in County Durham is valued at £170m and 80pc of the county is rural.
"Farms and agricultural businesses are the obvious victims of this epidemic, but traders in Middleton in Teesdale have reported a 50pc decline in tourists since the epidemic began, while Stanhope in the Wear Valley is suffering a 60pc loss of visitors."
Rural pubs and restaurants were reporting a significant downturn in trade and were laying off staff, because of a decline in both tourist and local trade.
"We are compiling a weekly report on the effects of foot-and-mouth on the local economy, which is fed into the national picture, because Business Link provides local companies with a voice at the heart of government, said Mr Atkinson.
With summer events being cancelled, Angela Colebridge from Eurocrafts said: "Foot-and-mouth has had a devastating effects on the local crafts industry. Many people spend the winter making items to be sold at local fairs and shows during the tourist season."
Mr Jeff Fitzpatrick, chief executive of Action for Employment (A4E) business services division, said: " We are researching every successful move rural businesses have made to find new markets when faced with a decline in old ones."
People are encouraged to share information with Business Link so that resources are targeted to the areas of greatest need.
Businesses which need help to cope with the effects of foot-and-mouth should contact Business Link County Durham on 0191 3744000. Details of seminars and an advice leaflet are available.
Barclays bank, which sparked a rural revolt when it closed many small branches in the North-East and North Yorkshire last year, is now giving £1m to help country communities hit by the foot-and-mouth outbreak to get back on their feet.
In the long term, Barclays is also looking for new projects to support which will aid regeneration, such as tourist events, environmental activities and retraining programmes.
Proposals for community regeneration support should be sent to: Barclays Rural Regeneration Fund, Community Affairs, Barclays PLC, 54 Lombard Street. London EC3P 3AH
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