THOUSANDS of aerospace workers were celebrating today after news leaked that Germany has finally decided to press ahead with the Eurofighter.

The biggest cheers went up at British Aerospace's factories at Samlesbury and Warton, where much of the UK's share of manufacturing will go.

Dozens of smaller firms throughout the area will also benefit from the £35 billion project.

"The Eurofighter is effectively an East Lancashire project because of the number of companies involved in it in the area," said Dennis Mendoros, chairman of the Clayton-le-Moors based Consortium of Lancashire Aerospace.

"This decision is excellent news. Everyone has worked very hard to secure it."

Germany's commitment to the scheme has been in doubt for months as Bonn grapples with budget problems. But finance minister Theo Waigel has found £600 million to finance the next stage of the Eurofighter's development. Last month Defence Secretary George Robertson pleaded with his German counterpart Volker RM- he not to add to the delay in completing the £40 billion collaborative project with Britain, Italy and Spain.

Germany had already sunk £12 billion into the project but was balking at further investment.

Production of the new fighter is being shared between Britain, Germany, Italy and Spain.

For the UK, production of the Eurofighter means confirmation of at least 6,000 jobs, rising to 16,000 during peak production. British Aerospace says the project is also worth 80,000 dependent jobs.

The UK plans to buy 230 Eurofighters and Germany remains on course to purchase 180. Italy is committed to taking 130, with 87 earmarked for Spain.

But the future still remains uncertain, with the main German opposition party still threatening to pull out completely if it defeats Chancellor Kohl in the next national election. And billions more are required to complete Eurofighter.

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