NEARLY 70 per cent of North West companies are failing to generate new business through their websites, according to a new survey carried out by Lloyds TSB Corporate.

According to the bank's Business in Britain survey, the problem can be explained in part by the reluctance of some firms to offer payment and ordering facilities on-line.

Mike Brotherton, senior area manager for the company, said: "Businesses and consumers are now accustomed to making transactions on line.

"But one in ten companies don't accept web payments and 68 per cent can't take orders on line."

The survey also disclosed that local businesses which do not currently use the Internet are overwhelmingly undecided on its potential.

More than two-thirds were not sure if the Internet would form part of their business plan this year and 18 per cent had decided against it.

Thirty per cent of firms avoid the Internet because they cannot assess the benefits. Mr Brotherton added: "There is no doubt that the Internet has opened up a raft of new opportunities for businesses and has enormous potential.

"However, while there has been a dramatic increase in businesses going on-line, the overall majority has not seen a return on investment."