Work on the warehouse complex will be completed in 2005

Argos is to build a distribution centre on Darlington's Faverdale Industrial Estate, for its home delivery service.

The town's council approved the company's detailed planning application on Thursday.

Once built, the complex will be a base for office administration, IT support, warehousing, driving and maintenance.

'Economic boost'

The new site will become the third regional distribution centre for Argos Direct and will serve the north of England, Scotland and Northern Ireland.

John Williams, leader of Darlington Borough Council said: "The new Argos development in Darlington will provide a huge boost to the economy of the town.

"Hundreds of new jobs will be created and we hope that this will also act as a magnet for other major businesses to locate in Darlington."

Mike Stevenson, head of estates management for Argos, added: "There are still some details to be finalised and once these have been agreed the site is planned to be fully operational towards the end of next year."

The jobs boost comes less than 24 hours after the Rothmans cigarette factory closed with the loss almost 500 jobs.