Newcastle have beaten off interest from Manchester United and Arsenal to sign teenage defender Steven Taylor.

The 16-year-old centre back is one of the north-east's most promising youngsters and was courted by several clubs including the two title-chasing Premiership giants.

But he has opted to accept a scholarship with his home-town club before signing full-time in July.

Taylor has been a regular with Newcastle's academy under-17s side this season and has captained England at under-16 level.

Investment

"There has been a lot of speculation about my future, but this announcement underlines my commitment to Newcastle United," he said.

"As well as a scholarship, I have also agreed to sign a three-year professional contract when I am 17.

"Being a Geordie, I am delighted my future is with my home-town team."

Taylor's signature continues manager Bobby Robson's recent investment in youth, following the �5m purchase of Jermaine Jenas from Nottingham Forest in February.