A HISTORIC 150-year-old factory will close this spring, with 70 of its 80 staff set to lose their jobs.

Engine producer MAN Energy Solutions has confirmed the Paxman factory, in Hythe Hill, will close at the end of March or mid-April once the final orders have been completed on site.

Ten of the factory’s 80 staff have secured new jobs at other locations across the UK but the rest will be out of work.

Louise Durose, general counsel for MAN Energy Solutions UK, said staff had been offered support such as enhanced redundancy packages, pensions workshops and advice to find new jobs.

Read more >>> CONFIRMED: Colchester's Paxman factory to shut after 150 years

She said: “It is so sad to have to close a factory like this, particularly one which is so synonymous with the town.”

The Colchester factory makes and maintains the VP185 engine. Its main customers were the Ministry of Defence and East Midlands Trains, which lost its franchise in the autumn.

Ms Durose said: “We have bid to the MoD over the last ten years on a number of occasions and we have lost those bids.

“A lot of our focus in the last five years has been on exporting the VP185 to other navies in particular in Asia. But because of the pandemic we were unable to secure any new orders.

“The closure is not something we wanted but when your main customers are not buying your goods there is not a lot you can do other than reach out to the rest of the world. The pandemic came along and knocked us for six.”

The firm says it will be looking to sell the Hythe Hill site, potentially for residential development, however, it has been allocated as employment land in Colchester Council’s Local Plan.

Ms Durose said: “We have sold other parts of the site for residential development over the years. We will want to sell the site and we will want to get the maximum value for it.”

“At the moment our focus is on getting those last orders out then we will look at the future of the site."

Read more >>> Plea to save exhibits from Colchester's Paxman's factory

Leader of Colchester Council Mark Cory said at least part of the site should be used to benefit the town.

He said: “I am sad to see Paxman closing after so many years of heritage in Colchester.

“I am saddened the Government’s industrial strategy doesn’t seem to be maintaining these jobs and looking at sustainable futures for them.”As a council we are looking at our economic strategy and making sustainable jobs and I would love to see a new opportunity here which employs people in a green industry.

“Whatever happens there needs to be some benefit to the Colchester community.”

Read more >>> Call to continue manufacturing at Paxman site when factory closes