THE Government has said Liverpool must pay far more than expected if it is to be allowed to tempt cruise ships away from Tyneside and other ports.

Transport minister Mike Penning told the House of Commons he will seek independent advice on how much of the public cash used to build the Liverpool Cruise Terminal should be repaid.

Liverpool Council offered to pay back just £5.3m of the £9.2m in Government cash used to build the facility.

It has made no offer to repay a further £8m in European Union funds, despite a warning this month that the European Commission has concerns.

Merseyside needs to pay back the UK cash in order to get around rules introduced to stop Liverpool using public funds to take trade from elsewhere.

Port of Tyne bosses argue that ministers must enforce the rules.

They say that Liverpool cannot use the facility for lucrative “turnaround” cruises.

Such cruises, which start or finish a journey at a port, contribute an estimated £33m per annum to the Tyneside economy and support 1,200 local jobs.

And Port of Tyne bosses fear those jobs would at risk if the cruise business is diluted further.