MORE than 10,000 people in the North-East already live in flood risk areas.

Overall, five million people are at risk in England and Wales. Property, land and other assets are valued at £214bn.

In the past two years, more than 30 people have died as a result of floods and many thousands more suffered trauma and devastating damage to homes and valuables.

Research by the Environment Agency shows that only five per cent of people who live in a flood risk area take the threat of flooding seriously.

In an average year, total losses - insured and uninsured - from flooding cost £600m per annum. In 1999, insurers paid out some £49m in domestic flood claims and £17m during the first quarter of 2000. This year, the bill is expected to exceed £1bn.

Homes in flood risk areas are more likely to be flooded than catch fire.

The best financial protection is to have adequate buildings and contents insurance, yet one in four households at risk do not have contents cover. More than a third at risk do not even know whether their insurance will cover them in a flood