NORTH-EAST companies' futures are being put at risk by rising energy prices, according to a new report.

A survey says businesses in Newcastle are worried by increasing tariffs, which they fear will harm growth in 2014.

The report, carried out by efficiency fund Energy Works, said 60 per cent of companies questioned said they will not meet their growth targets due to higher costs, with 40 per cent revealing they will consider closing departments to save money.

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The study also said 67 per cent of companies expect to miss growth targets by 10 per cent this year.

Derek Duffill, Energy Works' chief executive, said: “The UK is facing an energy deficit which makes it more susceptible to wholesale price rises on the international market.

“It is therefore absolutely vital that the country looks at ways in which it can reduce its energy consumption and demand.

“Cost effective technology that allows businesses to make this change is readily available.

“Unless we take urgent action it is clear that the UK's economic prosperity is at risk.”