The Bishop of Durham has expressed his delight over Nissan’s plans to produce an extra model at its Sunderland plant in 2014.

The announcement was made by the car giant during Prime Minister David Cameron’s visit to Nissan’s headquarters in Yokohama, Japan.

Production of the new hatchback is expected to create an additional 225 jobs at the Sunderland factory and 900 within companies that supply Nissan.

Bishop Justin Welby said the decision was an important milestone in the regeneration of the north-east economy.

“This is a very positive affirmation of the skills and abilities of the people and economy of the North East to compete on a world stage and to be truly world class,” he said.

"This announcement, coming as it does straight after Easter - a time of renewal, hope and positiveness in the Christian calendar - is very appropriate and very welcomed.

“The North East has suffered more than most regions in the economic downturn with more than 12 per cent unemployment in some communities.

“This news will be a much needed boast for our regional economy.”

The bishop urged other business leaders to take note of Nissan’s decision and “have another look at what the North East might do for their businesses”.