BORIS Johnson has vowed his new Government will "leave no stone unturned" to secure a rescue deal for British Steel.

Britain's new Prime Minister told MPs in the House of Commons he would "guarantee" he would do all he could to secure the future of Britain's second-largest steel producer, which employs thousands of workers, including 700 in the North-East at sites in Lackenby and Skinningrove.

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Mr Johnson also confirmed he would throw his weight behind a £39bn transport plan dubbed Northern Powerhouse Rail that would transform the North’s rail network.

But Middlesbrough MP and shadow transport secretary Andy McDonald questioned Mr Johnson's promises saying his pursuit of a no deal Brexit would be a "complete and unmitigated disaster" for the UK.

Earlier this week, former Business Secretary Greg Clark told MPs an agreement to ensure "the flourishing of British Steel's operations for many years to come" is "not certain but certainly within grasp."

He added it was "still an uncertain time" for the workforce and their families, but "the world needs steel and British Steel is amongst the best in the world".

Responding to a question about the future of British Steel from Middlesbrough South and east Cleveland MP Simon Clarke, Mr Johnson said: "I can guarantee this government will leave no stone unturned to get a good deal for British Steel."

Discussing Northern Powerhouse Rail, he added: "It's a truly visionary and exciting plan and I think we should definitely be doing it."

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Mr McDonald said:"I can’t stress just how disastrous a no deal Brexit will be for us.

"Boris Johnson and the rest of the elite are going to be OK no matter what but it’s the working people in places like Teesside who will pay the price with the loss of jobs on a massive scale.

"The widespread damage to our economy will be catastrophic. A no deal exit from the EU is utter madness.

"I don’t want to see the people I represent being unable to pay their mortgages or getting to checkout at the supermarket and their bank card being rejected for lack of funds."

British Steel went into liquidation in May after rescue talks with the Government collapsed.