CHANCELLOR Philip Hammond has announced £123m to support the regeneration of the former SSI steelworks in Redcar in today's Budget Statement.

The news was immediately welcomed by Conservative Tees Valley Mayor Ben Houchen.

Mr Houchen said: “I have spent the best part of six months repeatedly banging the drum for our area in government. It has been exhausting, but I’m pleased to say it has finally paid off. The Tees Valley has found its voice and we are punching above our weight.

“This historic windfall is the clearest sign yet of the Government’s commitment local people. With this massive investment, we can stop talking about jobs and start delivering them.

“Over 60 private companies are lining up to down root on the former SSI site, and with this cash boost from the government we can finally get spades in the ground next year to start remediation.”

However Labour's MP for Redcar, Anna Turley said: “The £123mn for the SI site, as trailed by the Tees Valley Mayor earlier this week, is welcome.

"But most of it looks to be previously announced basic maintenance funding for keeping the site safe.

"This should go without saying as the government made the decision to close the site and must bear the safety costs that come with that until the site is redeveloped.

"There is nothing new in this announcement that will create new jobs and attract investment. Proper resources need to be put into that task through the South Tees Development Corporation so we can get moving on the ambitious masterplan."

And Middlesbrough South and East Cleveland's Conservative MP, Simon Clarke, welcomed the money.

“This is hugely positive news for Teesside and marks the beginning of a new era for our local economy.  The Government has today put a huge sum behind the redevelopment of the former SSI site, which can unlock the whole vision of Ben Houchen and his team," he said.

“With private investors queuing up to bring business both large and small to the Mayoral Development Corporation, the Chancellor has acted decisively to tackle the obstacles to growth and get the site ready for them, just as Ben and I have asked him to.

“Everyone on Teesside can afford to be excited about what this means.  The Development Corporation aims to deliver 20,000 skilled jobs over the next 25 years – and we’re now able to set about making it a reality.  It really is brilliant and I pay tribute to the Mayor and our allies in Government like the Business Secretary Greg Clark for delivering today.”

However, a word of caution was offered by Stockton North MP Alex Cunningham, who called for more details of the financial announcement.

The Labour MP said: "The Government sacked Lord Heseltine after his pledge to drive investors into Teesside so I’m wary of this latest promise.  Whether or not it is entirely new money for the area and will be delivered quickly is yet to be seen.

"If it is, it is to be welcomed.  If it’s largely repackaged cash already promised and it’s to be spread over donkeys’ years, it will fail to have the impact that is needed to attract the investment to create the well paid jobs we desperately need.”