Industry Minister Brian Wilson yesterday indicated sympathy to calls for the creation of a South of Scotland Development Agency to help fight the deepening economic crisis in the Borders and Dumfries and Galloway.

But he said consideration of such a move would not be possible until the Scottish Parliament comes into operation next year.

His remarks came in a BBC radio link with Borders Council Convener Drew Tulley who is pushing for the South of Scotland economic alliance with Dumfries and Galloway Council and accusing Locate in Scotland of completely failing the needs of the Borders.

Scottish Enterprise moved swiftly last night to express opposition to any new development agency.