New Technology Institutes are officially launched tomorrow as part of a national network to provide information and communication technology knowledge, training and consultancy services to business. Business Correspondant Jonathan Jones reports.

AN organisation hoping to improve the skills of the North-East workforce is launched tomorrow.

It is one of 19 New Technology Institutes (NTIs) being established across the UK, and will help businesses in the North-East answer an increase in demand for skilled information and communication technology (ICT) professionals.

It is estimated that, nationally, one million extra ICT professionals will be needed by 2006, with 40,000 required by the end of this year alone.

Those highly skilled staff will form the backbone on which the UK will build its knowledge-based economy.

The initiative follows a report on the IT services industry, produced by the E-Business National Training Organisation in 2000.

It said: "Unless the IT services industry, education and UK Government work collectively and take immediate and sustained action to address skills shortages, then the foundation of the knowledge-based economy and growth of e-business will not become a reality."

In the North-East, the NTI will be split in two, with one half covering the south of the region, including the Tees Valley and Durham, based around the expertise of Teeside University.

The other will be based around the expertise of Newcastle's two universities, Sunderland University and further education colleges across Tyneside, Wearside and Northumberland.

Graeme Henderson, vice-chancellor of Teesside University, is leading the organisation in the Tees Valley and County Durham.

He said: "The main aim of the NTI is to develop a highly skilled workforce and establish the region as a competitive and highly attractive area for technology-orientated business investment.

"While there will be two NTI's in the region, rather than competing against each other, they will work as one, providing an overall service for the North-East. If we have the skills in the south of the region, then companies from Tyneside or Northumberland will be welcome to use them, and vice-versa."

"Together, the two parts will nurture business growth through the development of a highly skilled workforce, and the promotion of an entrepreneurial culture. The Tees Valley and Durham NTI will involve Teeside University, alongside Darlington, Bishop Auckland, Derwentside and Hartlepool Colleges.

"The Tyne and Wear and Northumberland NTI, focuses on the expertise of the universities of Northumbria, Newcastle and Sunderland, as well as the City of Sunderland, Gateshead, Newcastle, Northumbria and North Tyneside Colleges."

The North-East NTI will provide courses and training in e-commerce technologies, web systems, services and security, digital media production and intelligent systems for engineering. But the two arms are expected to develop different strengths, with the Tees Valley NTI focusing on media and technology through the development of the Digital City initiative.

The initial aim of the organisation is to provide courses designed to give the workforce the skills required by employers.

Mr Henderson said: "The NTI is employer-led. Our first target is to get people doing courses in the skills required by industry, then once they have completed the course, we will attempt to get them into employment.

"We are developing high-quality and diverse employer-led training, academic programmes and consultancy services that are directly responsive to the requirements of the region's business community.

"We are committed to working in partnership with the business community, to assist in providing their employees with the ICT knowledge and skills required to develop a competitive advantage.

"I believe the North-East NTI will be a great benefit, helping to nurture business growth and turning the region into an area highly regarded for its ICT excellence."

* For information about the NTI, log on to www.northeastnti.co.u