UK Steel Enterprise is celebrating the second anniversary of The Innovation Centre at Redcar with the announcement that a major extension is on target for completion by the end of the year.

The centre was full within a few months of being opened by former Redcar MP Mo Mowlam in September 2000 and reservations have already been placed on a large part of the extension by businesses waiting to move in or existing tenants needing to expand.

The extension will add 16,500sq ft of space to the existing 30,000sq ft and will provide five more workshops, 12 new offices and a staff room, as well as an extra reception area and extra parking spaces.

Simon Hamilton, UKSE regional executive, said: "There has already been a lot of interest shown with reservations placed on a large part of it. The centre was designed as the ideal affordable environment for small growing businesses, particularly those that are technology based, and the demand for space has shown that we are definitely meeting a need in the area."

The multi-million pound centre, already home to 20 companies, was set up by Corus subsidiary UKSE to encourage business growth following job losses in the steel industry on Teesside.