Northern Foods to close Hull plant

Northern Foods has announced plans to shut its ready meals plant in Hull, putting 349 jobs at risk. The company said its operation was no longer viable following the loss of a ready meals contract with Morrisons.

It is now entering a 90-day consultations period with employees on the closure.

Chief executive Stefan Barden told the BBC: "The loss of this contract makes the site commercially unviable.

"We are today announcing a proposal to cease production and close the site."

The announcement was made as Northern Foods released its full-year results which showed a 5% drop in pre-tax profits for the year to 28 March to 47.5m.

Barden added: Northern Foods has delivered a resilient performance this year, in challenging economic conditions.

We have successfully adapted the business to the current retail environment, whilst continuing to invest to enhance the trading position of the Group. We have much more to do, but year by year we are making Northern Foods a stronger and more sustainable business.

We anticipate that next year will be equally challenging, with the continuation of food inflation and competitive pressures. Our operational and financial strengths position us well to benefit when markets recover.

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