CAR manufacturer Nissan said yesterday the future of its North-East plant - and its 4,500 workers - is no longer threatened by Britain being outside the euro.

The Japanese group's chief executive, Carlos Ghosn, had previously warned that he would not commit new models to the Sunderland factory without reassurances that the UK was moving towards joining the single currency.

But a plant spokesman said yesterday a way had been found to work around the currency issue, making it irrelevant.

He said: "UK membership of the euro has been a big issue in the past, but it is no longer essential to the plant's future."

Fluctuating exchange rates cost Nissan £16m in 2003, so it set out last year to make Sunderland "currency neutral".

This has been achieved by insisting that parts suppliers invoice Nissan in euros - passing the exchange risk on to them.

Nissan said there had not been a senior level policy U-turn - the company had found a practical way to work around it.

The spokesman said: "We have been working with our suppliers to make sure that the amount we invoice in euros is equal to the amount of revenue in euros.

"This means we are not exposed to currency fluctuations. The exchange rate can do what it wants and it won't affect us."

The plant is the most productive in Europe. Last year, 331,924 cars left its production lines - up from 297,112 the year before.

In May 2003, Carlos Ghosn said that he wanted clear and reassuring signs that Britain was moving towards euro membership before promising new models for Sunderland. He repeated his comments in January last year.

But in September, the plant won production of the Tone, Nissan's new hatchback and the plant's first currency-neutral model.

That secured thousands of jobs and will create about 200 more when production begins next year.

Nissan has invested £125m in the project, with £24m going towards preparation at the plant.

It is expecting to build 100,000 cars a year.