A £750,000 rescue fund set up in a rural area in the hope of creating 150 jobs has achieved more than double that number.

After the last of the cash was allocated, it was announced yesterday that it has helped provide new work for 330 people in the Barnard Castle area of County Durham.

The original aim of the Teesdale Enterprise Fund was to provide 150 jobs over three years, but the 330 total was reached in only 20 months.

Shaun Stuart, chief executive of the Teesdale Enterprise Agency, which handled the money, said: "The result is far better than we dared hope for. I think it is a magnificent feat as these are all good quality jobs that are sustainable and permanent."

The £750,000 was provided by drugs manufacturer GlaxoSmithKline to help ease the impact of 400 redundancies it announced at its Barnard Castle factory as part of a worldwide review.

A panel chaired by John Teward, a former boss of the factory, awarded sums from the fund to new or established local companies which submitted a plan to take on new employees.

He said: "It is wonderful to think that the new jobs have been created at a cost of just over £2,000 apiece. That, in anyone's book, is excellent value for money."

The panel, which includes representatives of Teesdale District Council and Durham County Council, has just allocated the final £150,000.

The enterprise agency has this year launched a 12-month course to help business managers improve their skills, and an eight- month course for business owners. It runs these along with other services offering advice and support for small firms.