DAVID Cameron will visit Aberdeen today as the Conservative Government signs a £250 million 'deal' designed to help the city weather the dramatic fall in the oil price.

But the amounts jointly pledged by both the UK and Scottish Governments are expected to fall far short of the almost £3 billion requested.

The Prime Minister is also due to announce measures to help protect oil and gas jobs while he is in Aberdeen.

Earlier this month one of his ministers hinted at possible tax breaks for the beleaguered sector.

Yesterday Mr Cameron said that, despite the current crisis, a "bridge to the future" could be built for the "vital" North Sea.

He also hit out at the SNP, saying that with the drop in the oil price the party’s planned Independence Day would have been a “very, very dark day indeed”.

Last week First Minister Nicola Sturgeon urged the Tory Government to urgently confirm the deal to protect the Aberdeen's position as an oil and gas hub.

Aberdeen will be Scotland's second City Deal, after a similar announcement of up to £1.1bn for Glasgow in 2014.

It is designed to help the oil and gas industry maximise the remaining North Sea resources and enable the economy to diversify.

Aberdeen City and Aberdeenshire councils submitted a bid for a deal worth £2.9bn over two decades last year.

The agreement brings together government and council funds, alongside private investment, in a bid to boost local economic growth.

It will help support a new energy innovation centre, the expansion of Aberdeen harbour, enabling the city to compete for decommissioning work, and support for growing pharmaceutical and agri-food industries.

Scottish Secretary David Mundell will sign the deal on behalf of the UK Government today.

Mr Cameron will visit Aberdeen later to meet local employers and workers as well as senior executives from the oil and gas industry, to hear about the challenges facing the industry.

Mr Mundell said: “I know it’s a very tough time for people who work in the industry and their families, and I am determined that the UK Government will do what it can to support them.

"We need action which will help in the short, medium and long terms – helping the UK’s oil and gas industry to export its world-class expertise around the globe; and encouraging diversification of the economy to create new opportunities in other sectors too."

He added: "We have seen in Glasgow the extra jobs and growth that this kind of deal can bring, and I want to see the same achieved in and around Aberdeen."

In the last Budget, the UK Government announced a £1.3bn package of reforms for the UK Continental Shelf, including tax cuts for the industry and a £20m funding boost for seismic surveying to boost offshore exploration.

The industry body Oil and Gas UK has warned of tough times and jobs losses ahead.

At one point earlier this month the price of oil fell to $32 a barrel.

Mr Mundell will also formally announce plans for a formal memorandum of understanding between Aberdeen and Pemba, in the north east of Mozambique, designed to help the city create a local oil and gas hub based on the Aberdeen model.

Mozambique, which has huge reserves of offshore natural gas, is expected to become a major global producer in coming years.

Aberdeen City Council was awarded a £120,000 grant from the Foreign Office to help draw up the action plan for the Pemba hub.

The move is designed to boost growth and investment in Mozambique as well as open up opportunities in consulting, logistics, training and the supply chain for British companies, particularly those based in Scotland.