The First Minister has urged David Cameron to sign a £2.9bn deal to "support Aberdeen's position as a global oil and gas hub".

Local councils say the Aberdeen City Region Deal would help them build more affordable homes and improve infrastructure.

Nicola Sturgeon has asked the Prime Minister to approve the scheme, which would be funded jointly by the UK and Scottish governments.

In a letter to Mr Cameron, she said: "The City Deal provides a good opportunity to signal our respective governments’ support for the region.

"Against that backdrop, I am supportive of moving as soon as possible to agree the Aberdeen City Deal.

"Given the current situation in Aberdeen, with significant private-sector job losses announced in recent weeks by the oil and gas industry, it is vital that government sends a strong and unequivocal signal that it is fully supportive of the region’s position as a global oil and gas hub.

"The City Deal provides a good opportunity to signal our respective governments’ support for the region.

"Against that backdrop, I am supportive of moving as soon as possible to agree the Aberdeen City Deal."

The First Minister will visit Aberdeen on February 1 for a series of meetings with senior BP executives.

A £1.2bn City Deal for Glasgow and Clyde Valley was signed under the previous Conservative-Liberal Democrat administration in 2014.

The deal, which was also jointly-funded by the UK and Scottish governments, is expected to help create 29,000 jobs by 2034. Inverness is in the process of securing a £300m City Deal.