A MASSIVE £155m schools building programme has been given the go-ahead on Teesside.

The 30-year scheme will see five schools built in Redcar and Cleveland.

The private finance (pfi) deal will pay for the design and build of the schools. It will also fund their running costs for three decades.

The Government is contributing £50m towards the scheme and building is set to begin later this month.

Delighted council officials said the scheme would create:

* A new Roman Catholic campus at Mersey Road, Redcar, encompassing the new Sacred Heart Secondary School and the newly-named St Benedict's Primary School, formed with the merger of St Alban's and St Dominic's

* A rebuilt Gillbrook Technology College, on the existing site in Normanby Road.

* Cash to rebuild Bydales Secondary School, on its existing site in Marlborough Avenue, Marske.

* A primary school, to be named South Bank Primary School, formed with the merger of Beech Grove and Cromwell Road, on the existing Beech Grove site.

The joint venture between Mowlem and Redcar and Cleveland Borough Council was announced yesterday, after months of negotiations.

Cabinet member for education Councillor Steve Kay said: "Working in close co-operation with all parties for several months has resulted in the achievement of this major milestone.

"We now look forward to the construction phase and the continuation of the good working relationship we have built up with Mowlem."

Mowlem's project director, Tony Jackson, said: "The relationship with the council in bringing this prestigious PFI project to financial close has been excellent and we look forward to the successful delivery of the schools."

The aim is to complete the primary schools by next spring and the secondary schools by autumn 2006.

Yesterday's announcement comes only a week after another school in the area launched an appeal for £12m of Government funding for a merger.

Plans were revealed for a joint site at Huntcliff Secondary School, in Saltburn, which will see pupils from Saltburn Primary School moved to the other side of Marske Mill Lane.

Ruth Headdon, headteacher at Huntcliff, said: "This will be a massive move for both schools and a major boost to the area."