MORE JOBS ARE LOST AS CREDIT CRUNCH HITS THE NORTH EAST

12.00.00am BST (GMT +0100) Wed 21st May 2008

Fiona Hall has commented on Citigroup's decision to close call centres in Doxford Park, Sunderland resulting in 400 job losses.

US bank Citigroup has announced job cuts affecting 400 people at the firms' Future Mortgages and CitiFinancial loans call centres in Doxford Park, Sunderland, with the added possibility of further job losses at a later date, affecting areas in the North East including Newcastle and Middlesbrough.

Fiona said:

"The Citigroup job losses at the Doxford International Business Park, is a real blow for Sunderland.

"The Government stepped in at the last minute to nationalise Northern Rock, and as a result the financial sectors in the North East are slowly recovering. Now however, it looks as if secondary companies such as call centres and local estate agencies are feeling the credit squeeze, and this is worrying news for jobs in the North East.

"It implies that there may be tough times ahead as confidence in financial markets remains in a fragile state.

"There is still a skills gap between the North East and the South of England. I hope One North East will intensify its efforts to improve skills and employability in the region and ensure that those losing their jobs in call centres are helped as much as possible into new employment. "