13,000 to benefit in Coalition jobs boost

A Nifco worker pictured on the factory floor with an assembly machine for DV6 engine (used in Ford Focus and Fiesta) interducts.

A Nifco worker pictured on the factory floor with an assembly machine for DV6 engine (used in Ford Focus and Fiesta) interducts.

First published in Local and National Jobs News The Northern Echo: Photograph of the Author by

A MULTI-MILLION pound mining project is among landmark schemes expected to trigger a jobs bonanza in the region as the Government this morning unveils the winning bids for its flagship growth fund.

Fourteen schemes across the North-East, which the coalition says will create and safeguard about 13,000 jobs, have been approved. They include: £15m for Cleveland Potash to build a mineral processing plant; £1.2m for the development of a freight terminal in Middlesbrough; £1.65m for Sahaviriya Steel Industries to develop a training programme in Redcar; £1.65m for Stockton car parts maker Nifco to expand its operation; A conference facility at Durham County Cricket Club to include a 150-bed hotel, 2,000-seat theatre and skills academy; Significant investment at Nissan, Sunderland, with the potential to create up to 1,000 additional jobs; £6.7m for a manufacturing plant at the Wilton chemical complex on Teesside.

The announcement follows recent announcements by train-builder Hitachi and steel firm Sahaviriya Steel Industries (SSI).

By comparison, only one bid from the South-East was approved as the Government focused its efforts on creating jobs in those areas hardest hit by public sector cuts.

The North-East secured about £56.85m from a national pot of £450m, which the coalition hopes will create 100,000 jobs across the UK and narrow the North-South divide.

However, among the rejected bids were £29m for a housebuilding project in the Tees Valley and £9m for a Metrostyle light railway.

Unsuccessful bidders will be invited to apply for the second phase of the growth fund, worth about £1bn, which opens today.

Deputy Prime Minister Nick Clegg, who acted as chairman of the funding decision panel, explained why private firms had been given millions of pounds of taxpayers’ money to expand their operations.

“It is all about jobs, jobs, jobs,” Mr Clegg told The Northern Echo.

“But the key thing is that it is not just about bringing any old job to the North-East.

“They had to be in the private sector; created quickly, not in five years’ time, but literally in the coming months; and thirdly – and in many ways most importantly – they had to be sustainable.

“What were are trying to do built to last.”

The region’s chemical and manufacturing sectors were among the biggest winners.

Cleveland Potash won £15m to become the world’s first commercial producer of polyhalite, a mineral used as an organic fertiliser.

Nifco received £1.65m to expand its product range, Lotte Chemical secured £6.7m, and Thai company SSI, which has bought the mothballed Redcar steel plant, £1.65m to support training. Seafood supplier Cumbrian Foods, of Seaham, east Durham, and car maker Nissan did not reveal what they had received.

Stephen Catchpole, managing director of Tees Valley Unlimited, said: “The level of competition in this first phase was substantial, with the number of bids put forward from across the country greatly exceeding the cash available.

“The projects approved in Tees Valley will bring in millions of pounds of investment and create and safeguard hundreds of jobs, providing a much-needed boost and the perfect platform for greater economic growth and stability.”

James Ramsbotham, chief executive of the North East Chamber of Commerce (NECC), said: “NECC is delighted that this investment is going to business-led initiatives that are focused on company growth and creating sustainable employment.

“The projects that have won backing are at the core of the region’s economic strengths and future growth areas, which is extremely positive.

“We need to learn from the projects that have been successful this time, so that we focus on the right priorities and enter bids for the next funding round that are equally good, if not better.”

Shadow Business Secretary John Denham labelled the Regional Growth Fund “a disaster”

because the sum earmarked for the regions over the next three years is the same as the regional development agencies, which included One North East and Yorkshire Forward, received annually.

Comments (6)

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10:00am Tue 12 Apr 11

Jaga says...

“a disaster”. More like using money effectively. More effective use of money to save and create jobs will be better for the region. Less money, effectively used will go further. Says a lot for One North East's years, doesn't it.

John Denham is just another of Liebours snivelling whiners. Let him tell us how many manufacturing jobs were lost in the region during Liebours years in power. A lot more than were gained.

The coalition may not be everyone's cup of tea, mine included, but as far as getting jobs to the region, they are off to a fair start.
“a disaster”. More like using money effectively. More effective use of money to save and create jobs will be better for the region. Less money, effectively used will go further. Says a lot for One North East's years, doesn't it. John Denham is just another of Liebours snivelling whiners. Let him tell us how many manufacturing jobs were lost in the region during Liebours years in power. A lot more than were gained. The coalition may not be everyone's cup of tea, mine included, but as far as getting jobs to the region, they are off to a fair start. Jaga
  • Score: 0

4:23pm Tue 12 Apr 11

st-george1 says...

Fantastic news today that 14 private sector projects have been approved across the North East which will bring in millions of pounds of investment and create and safeguard many hundreds of jobs, providing a much-needed boost and the perfect platform for greater economic growth and stability …something the now expired Labour Government elitists failed to do or wanted to do during their 13 disastrous years.

By comparison, only one bid from the South-East was approved as the Government focused its efforts on creating jobs in areas hardest hit by public sector cuts and that’s here.

People like SSI’s new UK boss says this Coalition Government has been highly supportive of the Thai firm’s Teesside Cast Products takeover at Redcar, something the Labour elitists failed to do or wanted to do and this announcement will now allow SSIs Redcar steelworks to expand quickly, particularly with the financing and training of hundreds of new staff.

Watch out for the Labour Party cries and lies, despite their own historic failures in their once-upon-a-time heartland !
Fantastic news today that 14 private sector projects have been approved across the North East which will bring in millions of pounds of investment and create and safeguard many hundreds of jobs, providing a much-needed boost and the perfect platform for greater economic growth and stability …something the now expired Labour Government elitists failed to do or wanted to do during their 13 disastrous years. By comparison, only one bid from the South-East was approved as the Government focused its efforts on creating jobs in areas hardest hit by public sector cuts and that’s here. People like SSI’s new UK boss says this Coalition Government has been highly supportive of the Thai firm’s Teesside Cast Products takeover at Redcar, something the Labour elitists failed to do or wanted to do and this announcement will now allow SSIs Redcar steelworks to expand quickly, particularly with the financing and training of hundreds of new staff. Watch out for the Labour Party cries and lies, despite their own historic failures in their once-upon-a-time heartland ! st-george1
  • Score: 0

8:19pm Tue 12 Apr 11

bingbong says...

Congratulations, you've clearly fallen fall the Governemnt spin on this one! The key is the words "safegaurding and creating 13,000 jobs". So how many fall into the "safegaurding" category and how many in the "creating" category? Whilst any investement and creation of new jobs is welcome, I think we need to see the full facts before declaring the Tories the saviours of the North East. The key thing is net job creation. I would be willing to bet any sum of money you like that despite these announcements, net unemployment in the North East will continue to rise.....as will crime, as will hospital waiting lists....I could go on. I know Labour were far from perfect, but to refer to them as "Liebour" and declare the Condems as some kind of Messiahs is a bit far-fetched.......wh
at was it the Libs said...."We will not raise tuition fees" and what was it the Tories said...."The NHS is safe in our hands".
Congratulations, you've clearly fallen fall the Governemnt spin on this one! The key is the words "safegaurding and creating 13,000 jobs". So how many fall into the "safegaurding" category and how many in the "creating" category? Whilst any investement and creation of new jobs is welcome, I think we need to see the full facts before declaring the Tories the saviours of the North East. The key thing is net job creation. I would be willing to bet any sum of money you like that despite these announcements, net unemployment in the North East will continue to rise.....as will crime, as will hospital waiting lists....I could go on. I know Labour were far from perfect, but to refer to them as "Liebour" and declare the Condems as some kind of Messiahs is a bit far-fetched.......wh at was it the Libs said...."We will not raise tuition fees" and what was it the Tories said...."The NHS is safe in our hands". bingbong
  • Score: 0

12:16am Wed 13 Apr 11

Crafter says...

I'm surprised that anyone still believes political statements on face value. I'm surprised that anyone would expect a party to actually follow it's own manifesto when it gets into power. Surely I'm not alone in this.

BingBong has the right handle on this : Let's see just exactly what this means in the year to come. My own feel is that unemployment will rise. Remember, the cuts are just starting to take effect.
I'm surprised that anyone still believes political statements on face value. I'm surprised that anyone would expect a party to actually follow it's own manifesto when it gets into power. Surely I'm not alone in this. BingBong has the right handle on this : Let's see just exactly what this means in the year to come. My own feel is that unemployment will rise. Remember, the cuts are just starting to take effect. Crafter
  • Score: 0

2:33pm Fri 15 Apr 11

st-george1 says...

The hypocritical Labour ‘elitist’ Party masquerading under the socialist banner …
… a cow of many, well milked and badly fed
… like prohibition, it is a good idea, but it doesn’t work

Recession, recession means cut-backs = unemployment will rise, we surely all know that ... we just can't afford to keep paying for the massive over-staffed and in some cases incompetent public sector workforce, as witnessed in Yarm recently.
The hypocritical Labour ‘elitist’ Party masquerading under the socialist banner … … a cow of many, well milked and badly fed … like prohibition, it is a good idea, but it doesn’t work Recession, recession means cut-backs = unemployment will rise, we surely all know that ... we just can't afford to keep paying for the massive over-staffed and in some cases incompetent public sector workforce, as witnessed in Yarm recently. st-george1
  • Score: 0

4:09pm Sat 16 Apr 11

Well hello says...

Labour devastated the regions industry, eg. Tony Blairs own constituency of Sedgefield was one of the worst affected, as he persued the dream of globalisation & a nation of leisure.

Tony Blair almost pulled it off, the manufacturing jobs & machinery went to eastern Europe & China.

Now the former employees of companies such as, Black & Decker Electrolux, Swan Hunter, Corus, Sanyo, Fujitsu etc. leisurely await employment opportunities. Jobs are once again being created, primarily by Labours opposition.

Durham County Council seemed to have ditched the idea tourism & closed the few Tourists Information Offices that it managed & ran, and it is now once again jumping on the manufacturing industry band-wagon, as Cllrs. crack open the champers at Hitachis new site etc. Talk about u-turns!

I'm confused? The Labour heartland of the northeast & Tories investing & creating employment for the future, wasn't Labour supposed to do this?

"Perhaps that is what governments want us all to be?"
Labour devastated the regions industry, eg. Tony Blairs own constituency of Sedgefield was one of the worst affected, as he persued the dream of globalisation & a nation of leisure. Tony Blair almost pulled it off, the manufacturing jobs & machinery went to eastern Europe & China. Now the former employees of companies such as, Black & Decker Electrolux, Swan Hunter, Corus, Sanyo, Fujitsu etc. leisurely await employment opportunities. Jobs are once again being created, primarily by Labours opposition. Durham County Council seemed to have ditched the idea tourism & closed the few Tourists Information Offices that it managed & ran, and it is now once again jumping on the manufacturing industry band-wagon, as Cllrs. crack open the champers at Hitachis new site etc. Talk about u-turns! I'm confused? The Labour heartland of the northeast & Tories investing & creating employment for the future, wasn't Labour supposed to do this? "Perhaps that is what governments want us all to be?" Well hello
  • Score: 0

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