NEWPORT was handed another jobs bonanza today when the Prison Service announced it will bring 500 posts to the city.

As the Argus exclusively revealed in January, the giant CS100 building at the Celtic Springs Business Park will be home to the Prison Service"s finance and human resources departments from January 2006.

The announcement was made by Home Office prisons minister Paul Goggins in London today.

The move will bring 500 secure and well-paid civil service jobs to the city and forms part of the Government"s plan to transfer 27,000 civil service jobs out of London and into the regions.

Current staff will be offered relocation packages to move to Newport but civil service bosses expect many of the 500 jobs, which will range from junior positions to senior management roles, to be recruited locally.

Newport beat tough competition from Bolton and Newcastle to win the jobs.

The bid for the relocation was supported by the city council, urban regeneration company Newport Unlimited, the Welsh Development Agency and the Assembly.

The Prison Service says that Newport offered the best option for the new centre, scoring points on workforce, location, appropriate accommodation and facilities.

Today"s announcement comes hot on the heels of news that the Office of National Statistics is also to relocate 500 jobs to the city.

The new centre at Celtic Springs - which has remained empty since being completed two years ago - will bring together Human Resources and Financial services from Prison Service establishments across England and Wales into one central location.

A recruitment campaign will begin later this year.

Secretary of State for Wales Peter Hain said: "This announcement is fantastic news for Wales" newest city, a vote of confidence in Newport"s ability to attract public sector investment and further confirmation that Wales continues to be an attractive location for Civil Service jobs.

"This is vital when more jobs are due to be moved from London - 27,000 in total - and Wales will be in the front line of bidders for any relocations from the South East."