A 25-YEAR multi million pound partnership scheme to bring new council offices to Teesside has been announced.

Redcar and Cleveland Borough Council has joined forces with the Norwich Union Public Private Partnership Fund to sign a £9.5m deal that includes new council offices for more than 400 staff at Guisborough and Redcar.

The council's building at Cargo Fleet has been difficult to maintain and expensive to run. It will now be sold off as part of the Public Finance Initiative deal.

The arrangement will also provide a new business centre at South Bank and allow the council an enhanced annual rate support grant by providing 70 per cent funding throughout the 25-year life of the scheme. The council will have to find the remaining 30 per cent from its own resources.

The 220 staff who work in the development department will be moving from their current home at Cargo Fleet to part of the former foundry site at Rectory Lane, Guisborough.

And a total of 200 social services staff will have a new base in offices next to Redcar and Cleveland House in Kirkleatham Street, Redcar. The department has currently been housed in prefabricated accommodation.

The new business centre at Puddlers Road, South Bank replaces the existing premises and will create 39 office units and 16 workshop units.

The council hopes work on all three projects will be completed by next May with the staff moving in June.

Coun David Walsh said: "The agreement, which includes maintenance and servicing arrangements over the next quarter of a century, is one of the most important the council has entered into.

"We see it as a marvellous chance to enhance the working environments of hundreds of our staff as well as giving Guisborough as a town a terrific boost with a development they will be proud of.

"And there is the added benefit of a new business centre in South Bank, building on the success of the existing centre and ensuring budding business people get the best possible start in our borough."