A £3m plan to extend a business park in Hartlepool was unveiled yesterday.

MP Peter Mandelson cut a ribbon to mark the start of work on Phase II of Sovereign International Business Park, south of the town, off Brenda Road.

Property specialists Spencer Holdings PLC are behind the 40-acre development, which is planned in four phases.

The first phase houses Woo One, which manufactures computer casings for Samsung and Startek - an American company specialising in e-commerce teleservices, warehousing and distribution.

Phase II will see the creation of three 25,000sq ft units with parking facilities.

Mr Mandelson said: "It is important that Hartlepool continues to provide high quality business premises, which can only help in the ongoing efforts to make more secure inward investment and jobs for local people."

Councillor John Coward chairman of Hartlepool Borough Council's regeneration board said: "This is an excellent development, which has the capacity to create hundreds of job opportunities. The site is excellently placed for companies involved in international trade."