JOBS in Ford in Bridgend have been safeguarded thanks to backing from the Government.

Ford and Nissan will both receive Government support towards almost £2 billion worth of investment to develop new environmentally friendly engines and a new electric car.

Business Secretary Lord Mandelson announced that the Government had agreed to back Ford's proposed £1.5 billion investment over five years for the development of a new generation of environmentally friendly engines and vehicle technologies.

The Government will provide £360 million in loan guarantees towards six projects through its Automotive Assistance Programme, backing a proposed loan of £450 million which is being considered by the European Investment Bank.

Ford's plans will safeguard around 2,800 skilled jobs in the UK in Bridgend, at its research and development centre at Dunton in Essex and its other manufacturing plants in Dagenham, Essex, and Southampton.

It was also announced that Nissan will produce its electric car, the Leaf, at its plant in Sunderland.

Ford currently provides 29 per cent of the UK's automotive sector research and development.

The projects to be supported cover research and development for Ford's commercial vehicles such as the Transit and Connect vans and the development of low carbon emission diesel and petrol engines.

This includes investment in production facilities for new lower carbon engines in Bridgend which was also supported by the Welsh Assembly Government last year.

Currently 25 per cent of all Ford engines worldwide and over half of all Ford diesel engines are made in the UK

Ford chairman Joe Greenwell said: "Ford welcomes this positive support from the Government. It greatly assists in delivering Ford's commitment to invest over £1.5 billion in new, affordable, volume-produced low CO2 technologies."