THE future of a festival which brings the region worldwide attention is hanging in the balance, The Northern Echo can reveal.

Billingham International Folklore Festival, which attracts dancers and musicians from around the world and about 40,000 visitors each year, is facing a dramatic increase in costs.

The problem has been caused by a preliminary health and safety ruling by Stockton Borough Council which could leave festival organisers facing a £40,000 accommodation bill.

For the past 40 years, dance troupes from across the world have stayed at Blakeston Secondary School, near Billingham, north of Stockton, where the festival committee pays a nominal fee.

This summer, about 300 dancers and musicians stayed at the school, but now safety inspectors have ruled it could be unsafe.

The only other accommodation centre that could house that number of people would be Durham University Campus outside Stockton town centre.

However, the accommodation costs would be between £30,000 and £40,000, which festival organisers could not possibly meet.

Joe Maloney, director of Billingham Folklore Festival, said the organisers would not give up hope.

He said: "They are saying that we could have some people on the ground floor but the problem is people staying upstairs. The worry is that having people who can't speak the language up there could be a problem if there was a fire or some other emergency.

"We are trying to find ways round this and will be having meetings with representatives of the council in the coming weeks.

"The fact is, we could not survive without the council's funding, and we've had a lot of support from them. We just hope this can be sorted out."

Councillor Alex Cunningham, cabinet member for leisure and cultural services at Stockton council, said he was aware of the problem and will be holding informal discussions with members of the festival committee in coming weeks.

He said: "It would be the saddest day of my public life if we lost this festival.

"We not only want everyone to work together to find a solution to this problem, but want to develop this wonderful festival in future years."