THE North-East will benefit from a Ministry of Defence decision to appoint the Javelin Joint Venture to supply a next-generation anti-armour weapon for the British Army.

The US-designed, fire-and-forget Javelin will be built in the UK and will sustain more than 300 jobs nationwide - 35 of which will be created or sustained in the region.

The news came on the day the Government appeared to have appeased British defence and aerospace contractor BAE Systems with a £150m contract to extend a programme of upgrading for the Harrier warplane.

The Javelin contract, worth about £300m to the joint venture between Lockheed Martin, Raytheon and the US Government, will see work go to Northern Defence Industries Ltd, Express Engineering and Tanfield Group, of Stanley, in this area.

David Bowles, chief executive of supply chain builders Northern Defence Industries, said: "This represents a significant business opportunity for us and our members and will secure jobs, technology transfer and investment in the North-East of England."