Efforts to establish Auckland Castle, Bishop Auckland, as a "leading" heritage site for the North East have been boosted with a £15m donation from Jonathan Ruffer.

The Church Commissioners are now continuing discussions with Durham County Council, the National Trust and the government about the wider future of the historic site. Talks will also include the Art Fund and the National Gallery, although Ruffer's donation is to help ensure works by Spanish artist Francisco de Zurbarán will remain at the castle.

Dr Richard Chartres, Bishop of London and acting chair of the Commissioners, said: "Jonathan Ruffer's generosity has made that rarest of scenarios possible: the best of both worlds. "There is now an opportunity to create a leading arts and heritage centre in the North East, and a chance for both the Church of England and the Zurbarán Trust to contribute to the wider spiritual, social and economic regeneration across the region."