Doric FPD, a Burnley-based food packaging and cake board manufacturer, is facing closure with the potential loss of 71 jobs

A long-standing Burnley company is in danger of closing with the loss of around 70 jobs.

Doric FPD, based in Farrington Road, has been a specialised food packaging and cake board manufacturer for more than 50 years.

The business was acquired by Northumberland-based Culpit Group four years age, whose directors have said increased labour and material costs were weighing heavily on the company.

Director Ahmed Rafique said: “Doric FPD has today informed its employees of a proposal to close its Farrington Road site in Burnley, where 71 employees are potentially affected.

“This is a proposal only and no decision has been made. We are consulting with our employees and their representatives to consider ways of avoiding, reducing and mitigating the proposed redundancies.

“The site has experienced sustained financial losses over a significant period of time, and increases in material and labour costs have affected profitability and cash generation.

“Other UK sites in the group are not affected. We recognise this is difficult news for our employees and their families. Our immediate focus is on the employees affected and on carrying out a proper consultation.”

Mr Rafique went on to say he is hopeful that a full closure can be avoided but would not know any more detail until after the 30-day staff consultation.