The former Tory leader was in the region to announce a raft of measures drawn up by the Conservatives which he said would help the North East and the rest of the UK cope with the recession.

These include getting companies hiring again with tax breaks for new jobs, cuts in National Insurance to reduce the cost of employing staff and a £50billion loan guarantee scheme to get banks lending again.

The proposals also include a council tax freeze to help families make ends meet, abolishing income tax on savings and helping small businesses with cash flow by delaying VAT bills for six months.

Mr Hague said there was naturally serious concern over jobs at Nissan, where workers face an anxious wait to hear what the firm's plans are for the coming year in light of a massive down-turn in car sales.

He said there were many companies and industries in Wearside and the North East which were also facing difficulties.

But the Shadow Foreign Secretary said the Tory plans were designed to help all businesses and industries rather than having the Government pick which ones it was going to help.

He said proposals like the £50billion loan guarantee scheme would help firms access funding.

Mr Hague added that other schemes designed to help families, like a council tax freeze, the abolition of stamp duty for first-time buyers and schemes to get people back into work would also help Nissan and other car manufacturers to recover.

"At the end of the day, putting money in people's pockets will help the car industry – car manufacturing isn't going to pick up if people can't afford to buy cars," he told the Echo.

Mr Hague said action was needed now and called on the Labour Government to take its ideas on board.

The former Tory leader, who led the Conservatives from 1997 to 2001, was one of several shadow ministers speaking at Get Britain Working forums around the country this week.

He addressed party members, business leaders and representatives from the voluntary sector at the Grand Hotel in Tynemouth yesterday.

Mr Hague had previously visited Sunderland shortly before the council election in May last year and as well as being met with approval by some Wearsiders, he was heckled by one man for the pit closures of the 1980s.

But Mr Hague said the election result – with Conservatives gaining council seats from Labour – had proved the Tories were on the up in Sunderland and people were putting the past behind them.

"There's no point in fighting old battles. This is not the recession of the 1980s, this is a recession of the early 21st century and people need to learn who got us into this – Gordon Brown did."