THE North East was today promised thousands of new jobs after the Government awarded more than £50m to firms across the region.

Business Secretary Vince Cable said 5,216 direct jobs and 8,367 indirect jobs would be created and safeguarded by the awards to 14 North East firms from the Government’s £1.4bn Regional Growth Fund.

Speaking to The Journal, he said the grants would be a “useful catalyst” with the fund designed to help boost the private sector in areas of the country hit by public spending cuts.

The North East saw the highest number of firms awarded cash from the fund – including Nissan, Procter & Gamble, Durham County Cricket Club and Redcar steel works’ new owners SSI.

Nissan’s Wearside factory will likely create 1,000 new jobs as a result of the investment.

And two bids on the North bank of the Tyne, Duco and Bridon International, will between them create more than 700 jobs as they expand their sites.

North East businessman Sir Ian Wrigglesworth, deputy chairman of the panel advising ministers on bids, said the growth fund awards had pulled in a further £442m of private sector investment and other sources, such as European regeneration and council money, to the region.

He said: “It is an enormous boost to the private sector in the region and the regional economy.

“The other thing that will please people is that this is to manufacturing and hi-tech business, which is where the region needs to be going and will lead to them generating jobs and wealth in the region for many years to come.”

Companies will have to wait before finding out exactly how much money they will receive, with the Department for Business, Innovation and Skills stressing allocations are conditional and subject to a due diligence process.

Across England, the Government said more than 100,000 jobs would be created or secured with £450m from the fund handed to 45 firms following a first round of bids.

The amount is £200m more than was initially intended to be allocated after ministers considered a large number of high-quality bids amid hopes the funding will pull in £2.5bn of private sector investment.

As revealed in last week’s Journal, a second round of bidding will be launched today with the remaining cash up for grabs.

Mr Cable said the grants would be “important and useful” for the region.

“The interesting thing about the North East is that, together with Wales, that it has the highest share of manufacturing in its economy of any part of the UK,” he said.

“And as a result of that because manufacturing is doing relatively well and you are getting real growth there, you are beginning to see significant recovery in parts of the North East based around manufacturing. And there is some positive things all ready to build on.”

Labour’s Shadow Business Secretary John Denham, claimed the coalition was “choking off” funding for regions to grow.

“The Government is allocating £1.4bn over three years to projects, two thirds less than the £1.4bn a year Labour were investing through the regional development agencies alone.”

He also claimed there were “more losers than winners” with 464 projects worth £2.78bn submitted.

A Nissan spokesman said cash from the fund would support projects at the Washington plant. Details of the projects remain “commercially confidential,” he said.

James Ramsbotham, chief executive of the North East Chamber of Commerce, said: “Collectively, the successful bids from the North East make up a sizeable amount of the total Regional Growth Fund awards to date.

“NECC is delighted that this investment is going to business-led initiatives that are focused on company growth and creating sustainable employment. The projects that have won backing are at the core of the region’s economic strengths and future growth areas which is extremely positive.”