NHS organisations in the North East have been awarded £30m to create a drugs manufacturing hub in Seaton Delaval.
The money has been granted by the NHS nationally to the region's "provider collaborative" - which involves all of the individual hospital and community care trusts in the North East. The new "aseptic unit" will produce vital medical supplies including chemotherapy drugs and local health bosses think it could save them £14m a year.
The unit will serve all eight hospital and community trust in the North East. Other products made will include injectable nutrition for people who need help feeding either in hospital or at home, as well as other intravenous drugs and cutting edge medicines for clinical trials.