PROBLEMS faced by manufacturing firms in East Lancashire struggling to cope with the strength of the pound have been raised at the top.

Pendle MP Gordon Prentice has highlighted business worries about the high value of the pound to Chancellor Gordon Brown.

As fears grow that the fudge on the new European Single Currency may see money pouring into Sterling, he has assured leaders of the North West Chambers of Commerce who visited the Commons that he will continue to put their case to Treasury ministers.

He said that manufacturing industry in the region needed "a break" and that Chamber chairman Anthony Goldstone and its director Terry Cook have told him and other MPs, including Burnley's Peter Pike, that high interest rates and the soaring exchange rate of the pound were threatening the North West manufacturing base.

Acknowledging the short-term difficulties, Mr Prentice said that the worst was probably over: "I raised the issue in the Commons with the Chancellor of the Exchequer about three months ago and he is well aware of the concerns.

"At that time the pound had appreciated about 26 per cent against the German Mark.

"Clearly a strong pound makes it more difficult for our exporters and it also has an impact on tourism here in the North-West.

"We find it cheaper to go on holiday abroad but foreigners find it more expensive here."

Mr Prentice also took on board the Chamber's concerns about councils regaining their powers to set a local business rate.

He said: "The government is proposing changes to the system of business rates and I want all my local business in Pendle to let me have their views. Tomorrow is too late."

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