A factory in Barnstaple which employs around 35 people will close, the company confirmed today.
Heathcoat Fabrics today announced plans to close its Barnstaple factory, formerly known as Small & Tidmas, on May 31.
Employees at the Vicarage Street-based factory were told last month that the business could be relocated to Tiverton due to ‘bleak’ trading conditions.
In a statement released today, Managing Director Cameron Harvie confirmed the factory would relocate to Tiverton.
He said: “The decision to close the Barnstaple site has been taken only after every effort has been made to bring the Barnstaple business back into profit.
“However ongoing weakness in the UK and European markets has left the business with insufficient volume to continue and we have exhausted all other courses of action prior to making the decision to close the site.
“We would like to thank all our staff in Barnstaple for their continued hard work in supporting the business, and it is with regret that we have taken this difficult decision.”
Mr Harvie said a number of new positions would be created in Tiverton which would be open to current Barnstaple employees.