A boatyard in Exeter is almost doubling its workforce after winning a £1.2m contract to build two small ferries for use in Malta, the BBC reported.

Exeter Maritime Services has increased its the workforce at its Exeter Canal site to 25 people - 10 more than previously.

The 19-metre vessels will operate as commuter ferries.

Chris Lorimer, of Exeter Chamber of Commerce, said the contract would benefit other local companies.

Contracts such as this are often awarded to Asian companies, said Mike Wake, a maritime broker who helped set up the deal.

"Building this kind of vessel in Vietnam, Hong Kong, China or wherever, you'll find that the cost of supervision and the cost of shipping it back to Europe are prohibitive… or level-playing-field," said Mr Ward.

"So if they build the right quality, deliver on time, and build at the right price, they can compete on the world market."

It is understood that the ferries were ordered by Marsamxetto Steamferry Services for services across the harbours.