NEARLY 150 jobs have been secured and another 33 created by a £1m rescue package at wax jacket maker J Barbour and Sons.

The investment will be used to modernise the factory, warehouse and distribution centre of the South Shields company.

The rescue package includes a Regional Selective Assistance (RSA) grant of £240,000 from regional development agency One NorthEast, awarded to help Barbour buy plant and equipment.

Steve Buck, Barbour managing director, said: "We are very pleased that this grant has been awarded.

"We made the application, as it was our strong desire to retain and improve the manufacture of our wax cotton garments in the North-East.

"However, to keep this production viable, it requires continuous improvement in the productivity and efficiency of the factory and distribution centre. Without this significant investment, we would find it increasingly difficult to remain competitive in the tough global markets in which we now trade."

Alan Clarke, One NorthEast chief executive, said: "The approval of the grant will help Barbour not only to maintain production in South Tyneside, safeguarding a number of jobs, but also to increase the workforce, creating new jobs in an industry which has seen many of its employment opportunities disappear with the transfer of clothing production offshore."

J Barbour and Sons has its headquarters in Simonside, South Shields, where it has three premises, as well as a distribution centre in Follingsby Park, plus a factory in Galashiels. The investment will help the company increase its 400-strong workforce.

The company was established in 1894 when John Barbour set himself up in South Shields supplying oilskins and other garments to the sailors, fishermen, rivermen and dockers working on the Tyne.

The company has a series of sales offices and operates in 29 countries. In the past five years, turnover has risen from £29.9m to £37m and profits have risen from £1.6m to £3.98m.