A £52m investment package for the coal industry has been announced by the Government, creating 300 jobs and helping secure work for 4,000 miners.

Aid will be given to 12 projects at mines in Northumberland, Nottinghamshire, Warwickshire, Yorkshire and South Wales, covering almost a third of development costs.

Energy Minister Stephen Timms said the "substantial investment" will secure mining until 2008 and beyond.

He said: "Today's announcement demonstrates that, despite some difficult times in the past, there are encouraging signs for the future of the coal mining industry in the UK."

UK Coal, the country's biggest coal producer, has been offered £36m covering the company's eight deep mines.