Armed officers responded to reports of a man with a gun inside a Jarrow bookmakers.
Police quickly arrived on scene while the suspect inside held staff at gunpoint.
Northumbria police negotiated the safe release of all hostages within the bookmakers bring the incident to a safe conclusion.
A spokesperson for Northumbria Police said “At 8:44 pm police negotiated the safe release of the fourth person from inside the premises, then at 8:53 pm the man in possession of the weapon was arrested by officers.
“A firearm has been seized by officers and the 39-year-old man will be taken into police custody.
“A police issue ‘less lethal weapon’ was discharged during the incident in order to bring this matter to the safe conclusion – this was the ‘shots’ that people may have heard.”
Police confirmed Nobody had been injured in the incident, footage released by Stephen Dixon who witnessed the incident captured the moment armed cops gathered outside.
During the video, Stephen says they have stuck paper all over the glass to prevent people from looking in.
Northumbria Police Chief Constable Steve Ashman said that “a difficult and dangerous incident in Jarrow was brought to a safe end”.
Enquiries are ongoing and we will try and get the area back to normal as possible.