A CONTROVERSIAL regeneration project has won approval, thanks to Government funding.

The scheme for Seaham's Parkside estate, east Durham, will include 158 low-cost homes and promises a range of training and job opportunities.

Easington District Council met a wave of opposition when it proposed to demolish 200 council homes.

Parkside Residents' Association said the council's consultation procedure was flawed and argued that private homes to be built by Beezer Leech would be too costly.

But an independent survey by the Electoral Reform Society showed a two-to-one majority of residents in favour of the scheme.

Yesterday, the council confirmed it had secured grant funding to begin work.

A council spokeswoman said the project aimed to breathe life into the area by providing 158 low-cost private homes and creating jobs.

She said it would create potential for development of new and existing businesses, and attract £11.5m of private sector and Single Regeneration Budget money.

The council has joined forces with the Beezer Partnership Homes company and the regional development agency One NorthEast for the project.

Council leader Councillor Alan Napier said: "Much has been achieved in securing funds for the regeneration of Seaham - a priority for the East Durham Task Force and the District of Easington for a number of years.

"This news is welcomed by all individuals wanting to see opportunities for all the people of Seaham increased.''

Objectors still believe the project will cut into the heart of the community and will leave many residents with no alternative but to move out