THE region can boast the best and the worst in entrepreneurial spirit, according to a survey commissioned by Barclays Bank.

Harrogate, in North Yorkshire, makes it into the top ten of towns and cities boasting the most business start-ups, alongside Bournemouth, Exeter, Chester and Harrow.

But, despite recent rejuvenation projects, Sunderland is among the locations with the least, recording figures of just four new businesses per 1,000 head of the population.

The statistics came as no surprise to Sunderland Council leader, Colin Anderson.

He said: "We know it is a weakness. However, it is something we aim to do something about and, with the regional development agency, One NorthEast, we are already looking at it.

"Our problem is that the traditional industries from this area were not ones which promoted middle-management, which is where the entrepreneurs tend to start from.

"However, we have already set up new business incubator units, which are over-subscribed, suggesting there is a change in the commercial atmosphere. We know we still have a long way to go."

Councillor Anderson said Sunderland's Thornhill School was also considering a bid for status as a centre for business and enterprise, which may help generate new attitudes among the young.

He said: "At least we can say the figures suggest Sunderland is a great place to start a business. If there are fewer setting out, the competition is not going to be as strong."