LLOYDS TSB Insurance is to create 200 new jobs at its Tredegar Park HQ in Newport.

The new roles, which include a mix of call centre jobs, administrators and team leaders, will boost total staff at the site to 887.

Recruitment will take place over the next four months. The insurer wants to recruit people with a broad range of experience levels.

David Stoddard, head of customer service at Lloyds TSB Insurance, said: "This is a real boost, not only for Lloyds TSB Insurance, but for Newport's local economy.

"We're expanding our team by creating a wealth of rewarding career opportunities to bring onboard even more local talent to be part of our future success."

The announcement is likely to cool fears that Gwent jobs will be lost to outsourcing to call centres based in India.

Peter O'Grady, assistant general secretary of Lloyds TSB group union, said: "This is much-needed good news and is a confidence boost to workers at Tredegar Park.

"But as a union we are still concerned that the bank may be looking to move jobs to India."

In May 2004, the union presented 350,000 signatures against outsourcing to India to bosses at the company's annual meeting in Glasgow.

Newport councillor Ken Critchley, cabinet member for development and employment, said: "This is excellent news for Newport and confirms its growing reputation as a prime location when it comes to business growth and expansion.

"The council and its partners remain committed to attracting further investment to the city."

The Tredegar Park area has been earmarked by the council and regeneration group Newport Unlimited as a site for further business growth.

The new £55m SDR road was also built with the intention of boosting business access in the area.