John Prescott is in Newcastle to start the campaign

John Prescott is in the North this week to get the government's information campaign underway.

But local business leaders, such as the North East Chamber of Commerce (NECC) and the Confederation of British Industry (CBI) have raised concerns.

They have jointly outlined 10 areas which they say need addressing before the industrial and commercial sectors can support the idea of regional devolution.

George Cowcher, chief executive of the NECC, claims the current proposals for a regional assembly are "woolly and idealistic".

Peoples' choice

He said he wants an assembly with real power.

Mr Cowcher said: "You can give us a regional assembly that is a talking shop but if there is no additional resources with it or no additional powers for that assembly to deal with then what is the point?

"That is the whole purpose of what the CBI and the Chamber have put forward in the 10 tests.

"We are saying if there is no real substance to this chamber then what is the point of going down this route."

Speaking on the Politics Show on BBC One on Sunday, Mr Prescott explained it was for the people to decide if they want this new form of government.

"It's your say. I'm not making the decision," he said.

"You can say 'yes', you can say 'no'. But it's for the people of the north to make the decision.

"We have got to tell people what differences it will make, answer all the questions that are being put."