Nissan (www.nissan.co.uk) has secured Government funding worth £1.4 million to help create the skills base needed to build its next generation of Infiniti models in Sunderland.

The company will invest the same amount as part of a project to enhance the skills of its 1,742 staff. Chancellor of the Exchequer George Osborne made the announcement during a visit to the company’s Sunderland facility, where he met Nissan executives.

Kevin Fitzpatrick, Nissan’s vice-president of UK manufacturing, said that Infiniti vehicle production will start later in the year and will be a “major milestone for Sunderland. It will be the first new car brand to be manufactured on this scale in the UK for 23 years and represents a major investment in both our people and facilities.”

The Chancellor said: “Our long-term economic plan for the North East is all about building on the area’s strengths like manufacturing and engineering, and the funding will ensure that companies like Nissan have the right skills base to continue to innovate and grow. It’s exciting news that Nissan is launching a new car brand in the UK, and the Government is making sure it provides the support needed to deliver this.”

He also went to Stockton-on-Tees to visit Nifco UK, which announced its largest ever contract — worth up to £50 million. The company will make a complex thermostatic-control assembly for a new generation of low-emission Ford engines and will add 50 people to its 295-strong workforce.

Mike Matthews, managing director and European operations officer, said: “We are absolutely delighted to have won this contract with Ford. The scope and size of the deal is unprecedented, and it is made even more significant by the fact that we have managed to displace competitors from right around the world. The jobs this will secure and the impact it will have locally are such a boost, and we’re thrilled to have been chosen to deliver the contract.”