THE Government was last night heavily criticised for approving wide-ranging port expansion in the South when northern ports are better positioned for growth.

The report from the Town and Country Planning Association (TCPA) said the Government had "fatally undermined" its own Northern Way project to bridge the £29bn productivity gap between North and South by allowing southern ports to grow further.

The TCPA's report recommended that a ports strategy should be developed to encourage growth at northern ports with spare capacity - including Teesport, which is seeking approval for plans for a £300m deep-sea container terminal that would bring 5,500 jobs to Teesside.

Teesport owner PD Ports has spent the past year lobbying ministers to halt expansion at overcrowded southern ports, at Felixstowe, Harwich and Thamesport - and instead allow northern ports to expand.

But the Government ignored its pleas and gave Felixstowe and Harwich full permission to expand.

It has said it is "minded to approve" the port on the Thames at Shellhaven.

Last night, Martyn Pellew, director at PD Ports, said the report's findings tied in exactly with the company's lobbying.

He said: "We are disappointed about what has been going on in the South.

"But we are pressing ahead with our plans for growth despite that."

The TCPA recommended that a ports strategy should be developed by the Government to provide a framework for establishing how much further growth should take place in the South - and to encourage the accommodation ofgrowth at northern ports with spare capacity - including Teesport.

The Northern Echo has been pressing for the Government to allow Teesport's expansion for more than a year through its Support Our Port campaign.