The first ship is in dry-dock at the Pallion yard

A European ban stopped ship working in 1989 on the river in an effort to combat overcapacity.

But Pallion Engineering, the river's last remaining yard, has won an order to refurbish three Sea Cat cross channel ferries.

The firm hopes this will see a new dawn for the river's ship working heritage.

Client confidence

The first ship is already in dry dock, with the second due to arrive on 15 October and a third in November. All three will then leave Pallion next spring.

The order is the first ship-related activity to be seen on the river since 1989 when a moratorium took place - in return for �45m of economic aid given to the region.

Peter Callaghan, MD of Pallion Engineering, said: "The order is for three ships, all for Sea Containers, but the significance is that Pallion has ships back on the Wear again."

He said the firm had worked hard to win the order since the moratorium: "In that time, people forget about you, so it took Pallion a long time to get client confidence.

"We have to get on now to make sure people like Sea Containers and others come back to the Wear and come to Pallion."