‘North-East is not getting a raw deal’

Instead of cutting services, councils should first slash back-office costs and reduce the wages of senior officers, David Cameron said.

Mr Cameron made the comments during a visit to the region on the first of 23 “away days” around the country.

The Prime Minister’s first stop was the Centre for Life, in Newcastle, where he talked to experts working on pioneering stem cell research and chatted to children from St Michael’s Primary, Bishop Middleham, County Durham, studying geology.

In an interview with The Northern Echo, the Prime Minister rejected claims that the North-East was suffering disproportionately from the spending cuts.

He said: “I don’t underestimate the difficulties, but there is absolutely no attempt to treat the North-East or the North of England worse than other parts of the country – actually it’s the reverse.”

Mr Cameron said many councils in the South were taking much deeper, steeper reductions in their grants.

“My own constituency is seeing grants fall by 23 per cent in the next two years.

“That is much greater than any council is facing in the North-East.”

Noting that the chief executive of Newcastle City Council was paid more than him, Mr Cameron said local authorities should cut the wages of those who ran councils and reduce back-office costs before cutting services.

He said councils also needed to cut down on payments to consultants.

Last night, councils in the region said they had already taken steps to reduce management costs.

North Yorkshire County Council said its chief executive, Richard Flinton, was appointed on a salary of £155,000 in July last year.

Durham County Council said the authority was looking at “proportionate” management savings.

About 50 people took part in a demonstration against the spending cuts outside the Centre for Life.

As Mr Cameron left, some of the protestors attempted to stop the motorcade.

Student Ewan Brown, 19, was arrested for minor criminal damage to a police vehicle.

Protestors said Mr Brown was pushed against a fence by a plain-clothed officer.

Danny Youkee, 25, a student at Newcastle University, said: ‘‘The shutters opened and we slowed Mr Cameron’s car. Several protestors surrounded it and were apprehended by plain-clothed police.

‘‘Several protestors were then pushed to the other side of the road.’’ Protestors later vowed to demonstrate outside the police station where the arrested man was being held.

Afterwards, Mr Cameron took part in a question-andanswer session with staff at Greggs’ factory in Longbenton, north of Newcastle.

Questions on a range of topics were fielded, including the axing of the Building Schools for the Future project and the price of fuel. Before asking his question, one Greggs worker told the Prime Minister: “If I had known you were coming I would have a baked a cake.”

No decision on Hitachi

A DECISION on the Intercity Express Programme will be made in coming weeks, the Prime Minister said.

The leader said it was an important decision “we had to get right” – but he failed to indicate if the Hitachi-led Agility Trains bid would be given the go-ahead to build the country’s next generation of high-speed trains.

“We’ve got to be guided by what’s right for transport, what’s right for growth of our economy and what is sustainable and affordable,” he said.

Hitachi has indicated it would build a factory in Newton Aycliffe, County Durham, if it was handed the contract.

The deal would create 800 jobs directly and a further 8,000 in the supply chain.