POST-Election tax increases are inevitable if the UK economy is to stay strong, former Home Secretary Lord Brittain told entrepreneurs during a visit to Sunderland.

Lord Brittain was the guest of the Entrepreneurs Forum and spoke at a boardroom lunch to members who run businesses in the North-East.

The former Conservative MP for Richmond, North Yorkshire, was accompanied by his wife, Lady Diana, who is chairwoman of the Community Fund - formerly the National Lottery Charities Board.

Sir Peter Vardy, chairman of the forum, said: "Members were able to raise issues such as the negative impact on UK corporate profitability because of regulations and increased costs, while Lord Brittain spoke of China being the star performer in the world economy and concerns over budget deficits in the US."

Lord Brittain is vice-chairman of UBS Investment Bank, a non-executive director of Unilever and a consultant to Herbert Smith legal group.

He became Home Secretary in 1983 and was Secretary of State for Trade and Industry from 1985 to 1986. He was also a member of the European Commission from 1989 to 1999.

The visit was organised by forum member Alasdair MacConachie, managing director of Sherwoods, in Darlington.