Press release

Deputy Prime Minister announces jobs boost for North East

Three North East businesses have secured over £14.2 million of private sector and government investment from the Regional Growth Fund.

This was published under the 2010 to 2015 Conservative and Liberal Democrat coalition government


The Deputy Prime Minister will visit Procter and Gamble in Newcastle, Chirton Engineering in North Shields and boat building company Alnmaritec in Blyth to deliver the good news to staff.

The investment being announced today will help create 91 jobs at the three businesses and is thanks to a funding initiative which sees government and the private sector working together to boost growth in the regional economies.

Overall, 14 bids to the fund from the North East have been approved. Across the region, this will create and protect a combined total of 5,000 jobs. It is estimated an additional 8,000 jobs will be created to support the successful businesses’ supply chains.

During today’s visit the Deputy Prime Minister will see for himself how the Regional Growth Fund has helped three of these companies in the North East. He will announce:

  • £13.7 million of investment at Procter and Gamble in Newcastle, which will be used to create a UK centre of excellence developing greener and more efficient cleaning products. Procter and Gamble and their partners are investing £8.4 million in addition to the £5.3 of government funding, creating 53 new jobs
  • £250,000 of investment at Chirton Engineering in North Shields. The company is investing £175,000 in addition to the £75,000 of government funding. Funding will be used to buy new equipment for the plant and 23 new jobs will be created as a result
  • £250,000 of investment at Alnmaritec in Blyth. The business, which designs and builds boats, will use the funding to buy a 100 tonne marine travel lift, allowing them to expand into the repairs market. Alnmaritec is investing £187,000 in addition to the £63,000 of government funding. 15 new jobs will be created.

Deputy Prime Minister Nick Clegg said:

Creating long term jobs and long term growth is our number one priority for Britain right now.

For too long the UK economy has been too focused on the City of London, ignoring places like Newcastle, Blyth and North Shields in the North East.

I want the North East to be a place to build and make things again. 

The Regional Growth Fund is helping the economy grow in every region and across a range of industries.

The £1.4 billion Regional Growth Fund uses public money to fund projects which will create long term jobs, sustainable growth and boost the local economy. The first round of the fund has provisionally awarded £450 million to 50 projects across the country, leading to the creation of 27,000 jobs and more than 100,000 additional supply chain jobs.

Applications for money for the second round of the fund closed on 1 July. Bids are currently being considered by Ministers. An announcement on the successful bids in the second round is expected soon.

Notes to editors

  1. In total 14 bids from the North East were approved in round one of the Regional Growth Fund. They are:
    A V Dawson Limited
    Bridon International Limited
    Chirton Engineering Ltd
    Cleveland Potash Limited (CPL)
    Connor Solutions Ltd
    Cumbrian Holdings Ltd
    DUCO Ltd
    Durham County Cricket Club Holdings Ltd.
    Lotte Chemical UK Limited
    Nifco UK Ltd
    Nissan Motor Manufacturing (UK) Limited
    Procter & Gamble Technical Centres Limited
    SSI UK Ltd
    Turbo Power Systems Limited
  2. Chirton Engineering and Alnmaritec’s bids are part of a package of bids that will receive a total of £1.79 million.
  3. The details of the bids received in the second round are commercially sensitive and we will not release details of these bids. View summary details of the bids received in both rounds.
Published 28 October 2011