COMPANIES plagued by water shortages in the South are being encouraged to move to the North-East.

A campaign by inward investment agency Tees Valley Regeneration (TVR) has highlighted the assets at a time of growing water shortages in the south.

More than 2,000 companies in the South have been targeted with a direct mailshot this week, promoting the Tees Valley as the "water-friendly lcoation for water-friendly businesses".

John Pendleton, of Rocket Science, a marketing agency which has gathered data about water-dependent companies in the south, said: "This isn't just a knee-jerk reaction to headline water shortages.

"TVR has been looking at the water issue for several years.

"They have launched a cost-effective campaign about targeting the right companies, rather than a lot of companies.

"The companies tend to be manufacturers, or food and chemical companies, but also employers who run large offices with a thousand or more people in them.

"It is a lengthy process but, if they are considering relocating and the water supply is becoming a major issue, this gives the Tees Valley an edge over the rest of the regions in the UK."

Joe Docherty, chief executive of Tees Valley Regeneration, said: "We have a major asset here and we think it is time that industry in other areas was aware of what we have to offer.

"Obviously, the long term supply of water is becoming an issue, but here in the Tees Valley we have plentiful supplies in a superb area where industry can relocate with great confidence."

The campaign has been running for several years in association with Northumbrian Water, which has 22 reservoirs, including Kielder, Europe's largest man-made lake, which is linked by pipeline to the Tees Valley.

Campaigners are pointing out that if a steady, secure, cost-effective and abundant supply of water is critical to business, then the Tees Valley is ideal.