FEARS were growing last night that foot-and-mouth disease could grip Europe as the first outbreak was confirmed in France and the total number of cases in the UK reached 205.

The French outbreak - in a dairy herd at Mayenne, in the Loire Valley - was the first to be confirmed in mainland Europe. There are also suspected cases in Italy.

Meanwhile in the UK, the number of outbreaks rose by 22. The latest North-East site was confirmed yesterday as West Witton Row Farm, Witton-le-Wear near Bishop Auckland, County Durham.

And further evidence emerged of the growing crisis facing the region's tourism industry.

The Government has pledged to set up a taskforce, led by Environment Minister Michael Meacher, to examine the impact of the disease on the rural economy.

It also promised to look at new measures to combat the spread of the virus, including the possible slaughter of up to 500,000 sheep and cattle due to lamb or calve which would have to be moved, risking spreading the disease further.

Other possible measures being studied included moving pregnant animals to lambing sheds under strict supervision. An announcement is expected within 48 hours.

Agriculture Minister Nick Brown said troops could be called in to help with the movement and slaughter of animals if the industry was unable to cope.

So far, 121,000 out of an earmarked 170,000 animals have been culled.

He said that allowing troops to help with the slaughter work was "not a route that one would want to take".

But he added: "If the task gets bigger, and we have not got enough qualified slaughtermen to undertake it, then one possible route would be to supplement them by seeking the armed services' help."

Prime Minister Tony Blair yesterday met farmers' leaders and tourism chiefs at Number 10.

Mr Blair's spokesman said the taskforce "would look at the whole issue of the rural economy, in particular how we could kickstart the rural economy once foot-and-mouth has been eradicated."

He added: "If there are any measures we can take before that, then we will."

Government chief vet Jim Scudamore said yesterday that Britain was now effectively split into three parts - areas of high infectivity, an area with some isolated outbreaks and clean areas.

Tory leader William Hague called for a "slaughter on suspicion" policy, so that livestock can be killed as soon as a vet suspects they are infected, rather than awaiting the results of tests.

He also demanded a "business rate holiday" for rural businesses hit by the outbreak, particularly those involved in tourism.

The British tourism industry has warned it stands to lose up to £100m a week during the crisis.

Jo Pickering, communications manager for the Yorkshire Tourist Board, said foot-and-mouth could have a "potentially dramatic impact".

North Yorkshire's £752m-a-year tourism industry was under threat as people avoided making bookings to the area in the run-up to Easter.

"I think the critical question is how long will it last," she said. "We've heard it's not just a case of cancellations, it's people avoiding booking altogether.

"The indications are it will last until Easter, so it will have a major impact on the first half of this year. The industry will then be faced with working towards a recovery plan for countryside tourism."

Chairman of the Countryside Agency Ewen Cameron said after the talks with the Prime Minister: "I fully support the establishment of the rural recovery taskforce.

"It is essential to tackle the widespread economic damage which is happening in businesses far removed from the farm gate.

"We have supported the actions to eradicate foot-and-mouth, but we are clear that the impact is potentially more serious for the wider rural economy.

"Throughout the countryside now, thousands of businesses, from hotels to rare breed centres to village shops and pubs, are struggling to cope with lack of business as the public believe they cannot visit the countryside.