VICKERS has won the £250m battle to build a new generation of tanks for the British Army in a move that safeguards 500 North-East jobs.

Defence minister Baroness Symons is expected to announce the contract when she visits the Newcastle factory later today.

The deal for 66 mine-clearing and bridge-building tanks will provide a massive boost for the company's efforts to win more work abroad.

Vickers Defence Systems, which is part of Rolls Royce, faces fierce competition from American and German rivals in the battle for tank contracts worldwide.

The British Army opted for the Vickers' machines - called Trojan and Titan - because they use the same chassis as the existing Challenger main battle tank.

Because all three will use common spare parts, defence chiefs reckon they should be cheaper to run and maintain.

Trojan will plough and clear minefields, and the Titan will keep the Army's infantry and armour moving by bridging ravines.

The Titan can lay down a bridge in less than two minutes - the fastest in the world.

Vickers will build all three models at its Scotswood Road plant.

The order from the MoD will act as the springboard for efforts to sell Trojan and Titan overseas.

The Challenger has been a massive export success story for Vickers with hundreds already in service throughout the world