MORE than 2,000 people joined North-East dole queues in the three months to January, Government figures showed last night.

Almost every week since the New Year, regional firms have been announcing job cuts, with redundancies reported in the past six months reaching nearly 3,000.

Yesterday, Lloyds TSB announced 39 redundancies in Newton Aycliffe, County Durham, the latest in a line of job losses in Prime Minister Tony Blair's constituency.

And circuit board manufacturer Circatex, which went into administration last month, said another 80 workers were to lose their jobs at its South Tyneside factory.

Fifty jobs are going at County Durham brickmaker Dyson Refractories, in West Hunwick, near Bishop Auckland, when production ceases tomorrow.

The North-East has the highest level of unemployment outside London, representing 6.7 per cent of the population, according to the Office for National Statistics.

Since October, The Northern Echo has reported the loss of more than 2,700 jobs across the region.

But there was some brighter news last night with biodiesel producer D1 Oils transferring staff from its bases in London and Preston, Lancashire, to Teesside, and bringing jobs there.

R&B Recycling in Hartlepool said it had created 40 jobs, tripling its workforce to 60.

Other success stories include Asda's plans to build a £30m import centre at Teesport, creating 450 jobs, and a new Argos centre in Darlington, creating up to 700 jobs.

Regional CBI director Sarah Green said soaring energy prices had had a huge impact.

But she added: "It is not a doom and gloom situation.

"We have a changing economy and there are businesses creating jobs and new firms starting up. In some sectors, such as the service sector, there is a lot of confidence."

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