THE North-East’s exporting prowess will be damaged if the Government fails to take conclusive action on air travel tax changes, a business organisation has warned.

The North East England Chamber of Commerce has written to Prime Minister Theresa May calling for a swift resolution to concerns over air passenger duty (APD).

The worries come just days after Newcastle Airport bosses reiterated fears to The Northern Echo that changes to the levy in Scotland could see at least 500,000 passengers lured away from the North-East site, as holidaymakers and potentially airlines seek to dodge the charge in England.

In a strongly-worded letter to Mrs May, James Ramsbotham, Chamber chief executive, said businesses need urgent clarity and a level playing field, citing the importance of the £10.75bn exports sent by North-East companies last year.

Adding £350m of those deals went through Newcastle Airport, he said a previous commitment by Chancellor Philip Hammond to look at APD after Brexit was simply not good enough.

He said: “We are proud of our region’s global reach and its enviable export record, but to build on this success, we need our regional airports to be competitive.

“In just nine months, APD will be replaced in Scotland and the North-East’s exporting businesses will be disadvantaged.”

Mr Ramsbotham also raised concerns the North-East could be left trailing in Northern Ireland’s wake, since the Democratic Unionist Party, which has agreed a deal with the Conservative Party, called for the abolition of APD in its recent General Election manifesto.

He added: “Businesses and airports risk being disadvantaged on two fronts (through APD and Brexit). This comes at a crucial time for the UK, with firms striving to forge new partnerships around the world.

“We must create an environment for them to succeed.”

Speaking to the Echo last month, Graeme Mason, Newcastle Airport’s planning and corporate affairs director, said bosses want, at the very least, a matching of any cuts across the rest of the UK.

He added: “It is clear that Scotland is moving forward.

“We need clarity from the Government; they should make a pre-emptive move and solve the problem once and for all.

“Losing passengers here would undermine the North-East economy, at a time when it needs support.”