A health union has claimed that newly-qualified nurses in the region are having to do bar and shop work because hospitals cannot afford to employ them.

Durham is one of five areas of England where new nurses are struggling to find work with local hospitals, according to the Royal College of Nursing (RCN).

The report by the RCN is based on anecdotal evidence from nurses around the country who graduated two months ago.

It suggests that many have been forced to take non-health jobs because the NHS is battling debt problems.

However, while several cash-strapped North-East hospital trusts are operating a vacancy freeze - including South Tees and North Tees and Hartlepool - the gloomy RCN view is challenged by the man in charge of nurse training at Teesside University.

Professor Paul Keane, dean of the School of Health and Social Care, said: "We are aware difficulties exist, but we are working with local employers to find jobs.

"There are not the permanent posts which existed 12 months ago, but there are temporary posts available.

"Newly-qualified nurses are not having to work in bars and supermarkets."

Even at South Tees Hospitals, which is trying desperately to shave millions of pounds from its budget, there are still temporary posts available, he said.

"We are also aware that jobs may not be available in the areas the students want, but there are jobs available," said Prof Keane.

A spokesman for County Durham and Darlington Acute Hospitals NHS Trust said: "We broke even last year, we are hoping to break even this year and we don't have a recruitment freeze."

Linda Templey, director of nursing with Durham and Chester-le-Street Primary Care Trust (PCT), said: "We are still recruiting nurses but most vacant posts are probably not suitable for newly-qualified staff."

The trust's recruitment policy was not affected by budgetary considerations, she said.

Carole Harder, director of primary care with Darlington PCT, said that, in common with many County Durham PCTS, new vacancies were first notified to nurses who were already working in trusts that were struggling to reduce costs.

"We are trying to help the situation at some hospitals by redeploying nurses," she added.

Kevin Terry, RCN regional officer, said: "Nurses are finding it difficult to get jobs in the North-East but they are getting them eventually."