IN his interview with The Northern Echo today, Tony Blair talks about the potential benefits of regional government in terms of economic development.

He says it is absurd not to recognise that different parts of the region are intimately linked when it comes to business.

It is a theme also taken up by the Mayor of Middlesbrough, Ray Mallon, yesterday when he reviewed this week's exciting visit to the Tees Valley by Emaar Properties.

The Dubai-based company says it is serious about investing in this area, and whether it is Middlesbrough, Stockton, Darlington, Hartlepool, or Redcar and Cleveland, the result would be very good news indeed for the whole region.

But, understandably, sensitivities remain when neighbouring councils compete for the same slice of cake.

Darlington, for example, was the only local authority in the Tees Valley not represented when Emaar - one of the world's biggest development companies - flew in to look at potential sites across the sub-region.

Whatever the reason for its non-attendance, Darlington was conspicuous by its absence, and we believe that to have been a serious mistake.

And perhaps it illustrates why regional government may be the only way to overcome local sensitivities and create a more strategic vision.