Drinks giant Diageo has announced sponsorship of the Scotland and Republic of Ireland bid to stage the Euro 2008 football championships.

Officials for both countries said the support from Diageo, which produces drinks including Bell's whisky and Guinness stout, was a welcome boost in the campaign to persuade European governing body Uefa.

Lord Macfarlane of Bearsden, honorary life president of Diageo, said: "Diageo is uniquely placed to support this joint bid and will work closely with the Scottish Executive and the Irish Government in an effort to secure this great tournament for the two countries.

The joint Scotland and Ireland bid for Euro 2008 keeps going from strength to strength

Bertie Ahern, Taoiseach

"I know that our bid is of the highest quality and substance and as a company with major interests in the Scottish and Irish economies, this is an obvious initiative for us to support."

The Bell's brand has had a long-standing link with Scottish football through sponsorship of the Scottish Football League Championship.

Bell's announced in December 2001 that it would continue this sponsorship for an additional four seasons, which would mean an additional �3m for the game.

Chief executive of the Scottish Football Association, David Taylor, said: "Everyone in Europe knows brands such as Guinness and here in Scotland we are all aware of Bell's involvement with football.

"This sponsorship is the perfect fit and it will certainly enhance the profile of Scotland and Ireland's bid."

Officials have welcomed the sponsorship

The deal was also welcomed by the Scottish Sport and Tourism Minister Mike Watson, who said the move brought "a great deal of credibility to the bid".

Equal in his praise was Taoiseach, Bertie Ahern, who said: "The joint Scotland and Ireland bid for Euro 2008 keeps going from strength to strength.

"The full support of the private sector is a strong element of the bid and we are delighted that Diageo has committed their support to our Euro 2008 bid."

Diageo now joins BT Scotland as a major backer of the bid.

A Uefa team will visit Scotland and Ireland in September to compile a detailed report on the joint bid.

Officials will draw up a shortlist of the two or three best bids before the winner is decided.

Scotland and the Republic of Ireland are competing against six rival bids, with another joint bid from Switzerland and Austria being considered as the front runner.