Sherburn in Elmet housing factory to shut with 475 jobs at risk

The company blames planning delays and the pandemic for weak demand

A modular housing factory is to close, putting 475 jobs at risk.

Legal and General announced production at its site in Sherburn in Elmet, near Selby, North Yorkshire, was to cease.

The company blamed "long planning delays" and the impact of the Covid pandemic for years of weak demand.

A spokesperson for the firm said there were plans to make the majority of workers redundant and the business would be "actively exploring redeployment opportunities".

The finance-to-property group had launched consultations with all 475 staff, according to Bill Hughes, chairman of Legal and General Modular Homes' board.

The company said it had not been able to "sustain the significant running costs of the large factory in Selby" as a result of insufficient orders for new homes.

Mr Hughes said the firm was "proud of what we have achieved in bringing forward a new approach to construction through our factory.

"However, without the necessary scale of pipeline it is not sustainable to continue producing more modules."

He added: "We recognise this will be a challenging and uncertain period for our staff and we will be actively exploring redeployment opportunities and supporting them during this difficult time."