ON the day the region stages the North-East Economic Forum, let us start on a positive note.

This is a truly great region. It has people with character, passion and fortitude. It has outstanding countryside, vibrant cities and iconic landmarks. It has world-class businesses.

There is plenty of evidence that the region is changing. The skyline of Newcastle and Gateshead seems to have been enhanced with every visit. Ambitious plans are being drawn up for Middlesbrough and Stockton. A vision for Durham City is beginning to come together. And, despite its current controversies, no-one could argue that Darlington is standing still.

Meanwhile, the region is being promoted around the globe by a campaign judged to be effective enough to win a World Tourism Award for One NorthEast.

Yet, for all its undoubted progress, the North-East also has to face up to its continuing problems which result in it lagging behind other regions on a long list of indicators.

How can the decline of manufacturing be countered? How can skill shortages be addressed? How can more new businesses be nurtured? How can our brightest talents be persuaded to stay? How can educational standards be raised? How can disturbing trends in public health be reversed? How can the North-South divide on health be closed? How can the consequences of anti-social behaviour be minimised? How can the North-East find a true regional voice?

These are all questions which have a bearing on the economic prosperity of this great part of Great Britain.

We believe today's forum was desperately needed. We believe it could prove to be extremely important in pointing the North-East in the right direction.

But it must be more than a talking shop. It must produce real answers and real actions which will help the North-East grow to its full potential.