Plans to redevelop south Wales' RAF base at St Athan into an aviation centre of excellence have been given the go ahead.

More than 2,000 jobs will be protected when the 1,000-acre site in the Vale of Glamorgan, near Cardiff, is converted into an aerospace industry park, costing �70m.

Armed Forces Minister Adam Ingram made the announcement at 1130 BST on Wednesday, guaranteeing the future of the site which had been in doubt.

John Smith MP pressed for the announcement

Called Project Red Dragon, the redevelopment includes the construction of a new giant aircraft hangar, and a plan to set up an aerospace business park.

Local MP John Smith who has fought to keep jobs in St Athan said: "I'm absolutely delighted as this is decision I've been waiting for many years," he said.

"Remember it's not just good news for St Athan, it's good for the whole of Wales - jobs, investment, high quality, highly-skilled jobs in the aerospace industry. It's just what Wales needs.

"We've already got a centre of military aviation excellence right here, right now and that will attract new investment, new jobs just like a magnet. I'm told people are already queuing up to come into the aerospace park and you can't say that very often."

The Defence Aviation Repair Agency (Dara), the Welsh Development Agency (WDA) and the Welsh Assembly worked on the plans to make the base a major repair centre for fixed-wing military aircraft.

They include a "super-hangar" as well as proposals to create an aerospace business park with the prospect of a further 1,000 jobs.

The base is currently a training and research base for the RAF but its long-term future had been uncertain.

Welsh Guards

Most of the RAF's Welsh operations including search and rescue are run from Valley in Anglesey, north Wales.

But with the confirmation in March this year that the Welsh Guards will be based at St Athan from May 2003, expectations for the site have been growing.

In June, Vale of Glamorgan MP John Smith called on the government to make an early announcement on plans for the base.

But plans for the business park are still in the early stages.

Ingram also spoke of job creation

Further research needs to be done on road access and whether the runway will need expansion.

Speaking from St Athan on Wednesday, Mr Ingram said Dara's workforce was "one of the best in the world".

"This is about the creation of jobs and ensuring the future of this site," he said.

"There are many opportunities ahead of us. The plans for regenerating this site will bring enormous benefits for the local economy, Wales as a whole and indeed for the UK."

Dara chief executive Steve Hill said the construction of the hanger should pave the way for the creation of "many hundreds if not thousands of jobs in the long term".