ONE of the North-East's best loved non-league football clubs has been handed a lifeline by the same company which has handed an economic lifeline to its supporters.

Tow Law Football Club, who in 1998 reached the Wembley final of the FA Vase, have agreed a sponsorship deal with Sunderland-based company Steele Group.

The club was previously sponsored by the former Bond's foundry, which went into receivership, casting an economic cloud over the town and leaving the club without major financial backing.

The forge employed many workers, leaving employees and the club they support uncertain of their future.

But the Steel Group has pledged to bolster community activities in a bid to foster relationships between shopfloor staff and new management.

Steele's chief accountant, John Blackett, said: "We are a North-East company and we realise the North-East has had troubled times over the last few years.

"The four directors of Steele's have North-East roots, and there is a clear strategy to try and instil a bit of confidence in the region.

"We employ mostly local labour who live in Tow Law and the surrounding area. With this sponsorship we are trying to breakdown the barriers between the shop-floor and new management.

"It is a small contribution, but that is how we see us playing our part. Hopefully they can win something new and go on to greater things."

The Steele Group employs 88 people at the Tow-Law based foundry. It will run a sponsorship deal amounting to a total of £2,000.

Club chairman, John Flynn said: "Steele's has rescued the jobs in Tow Law by their buy-out of Bonds. They have also shown a commitment to the local community, including renewing the sponsorship for the football team, and the first cheque will be handed over at the beer festival we are holding this weekend."

The festival, part of a series of millennium events in the village, was held at the weekend.