ADDRESSING last week’s North East Economic Forum annual dinner, Communities Secretary Eric Pickles was both surprising and predictable.

The element of surprise was provided by the warmth he demonstrated towards the region, its people and its businesses, both in his formal address and, according to those present, in private meetings during the day. He expressed an admiration for the North East’s industrial prowess, too, which, although some found a little patronising, others felt betrayed an admiration for the wealth of good businesses our region still boasts.

Considering his reputation as a gruff Yorkshireman and a political bruiser, Mr Pickles didn’t come to Newcastle looking for a fight, which was generally welcomed.

His message, however, was utterly as expected. He trashed the reputation of One North East and urged the region to stop looking to the Government for support. Instead, the state should get out of the way and let businesses thrive, he said.

Which is fine in some respects. Indeed, a promise to slash planning red tape and look again at empty property rate relief is welcome. But how does that sit with the report we carry today about this Government’s carbon tax regime?

As CBI director-general John Cridland articulated in his address to his organisation’s energy conference, here’s an example of new legislation which is actually crippling many businesses, to the extent that some, such as the Alcan plant at Lyne- mouth, may ultimately be forced to shut down. The situation is equally bleak for swathes of the petro- chemical industry on Teesside.

What was initially designed as a green tax is now blatantly being used by government as a revenue generator, in much the same way as the ill-advised hike to North Sea oil taxes. Even the environmental argument doesn’t really stack up when one considers that one effect of this tax will be to force these industries overseas where emissions regulations are less stringent.

And, of course, the revenue-raising capacity of such taxes is extremely short-term if the longer-term impact of their imposition is to force these industries out of business or overseas.

So our message to ministers is clear: if you want to leave businesses alone to get on with mending our economy, that’s fine. But stop imposing these crippling taxes on those very firms that have the capacity to get us out of this mess.

:: Andrew Hebden is head of business at The Journal. Follow him on Twitter @andrewhebden