FINAL contracts to build a multi-million pound office block that will keep 400 civil service jobs in Darlington have been signed.

The official agreement between Darlington Borough Council and the Department for Education (DfE) to build new offices in the centre of Darlington marks the successful end of a campaign to save the government jobs for the town.

The council stepped in after the DfE announced plans to move its staff from unsuitable offices at Mowden Hall to another location in the North East, which was described as “devastating news” for Darlington.

A number of alternative sites around the town were discounted before the council offered to build a new office block to the DfE’s specifications at a cost of £8m, funded through borrowing.

The detailed agreement signed by council leader Bill Dixon and Andrew McCully, from DfE, means that the council will lease the new building to the department for an initial 15 years.

The new offices will be built in a car park behind the town hall, where archaeological investigations have already started, with a link to the council offices to allow shared facilities including reception and meeting rooms.

The authority said it hopes that the link between the two buildings will allow the two organisations to carry out joint training, apprenticeship schemes and career opportunities for staff.

Building work is due to start next month, with the development scheduled for completion in Christmas 2014.

Councillor Dixon said: “Today marks an important step along the way towards a key development for Darlington both in terms of the local economy and the national importance of the town as a key location for business.

“Before work started there was the campaign to bring the office to the town centre and the archaeological work has generated a great deal of interest among local people. It has played an important part in Darlington’s past and will play an even more important part in Darlington’s future.”

Chris Wormald, permanent secretary at the Department for Education, said: “We are very grateful to Darlington Borough Council for the work they've done on finalising these arrangements.

"It was clear that the advantages to the DfE of remaining in Darlington outweigh any benefits which could be realised by moving elsewhere. This is a real opportunity for an exciting and innovative partnership between central and local government.”