WORKERS at a biscuit factory in Batley face a year of uncertainty after a decision on whether to close the site was postponed.

Owner Northern Foods wants to merge its Fox’s Biscuits plants at Batley and Uttoexeter in Staffordshire – and build a new £40m factory at one or other of the sites.

Northern Foods was expected to make a decision by the end of this month, but now says it will undertake a “rigorous” evaluation before making a decision next year.

In a statement, the Leeds-based group said all aspects of the project were being reviewed in light of the current economic climate.

It added: “We will continue exploring this project’s potential to improve efficiency through the course of our next financial year, with an update expected in the final months of that period.”

Chief executive Stefan Barden added: “This prudent decision will enable us to rigorously evaluate all the available options before committing investment.

“We fully recognise the continued uncertainty this will unfortunately bring to our loyal employees and we remain committed to regular communication. t is important that we make the right decision for all concerned with the future of our business.”

The Batley site, which is Fox’s headquarters, employs about 1,200 people at its peak while Uttoxeter has about 930 staff. Fox’s Biscuits is one of the biggest private sector employers in Kirklees.

Founded in 1853 in Batley, it has provided jobs for several generations of local families.

Fox’s makes a range of luxury biscuits, supplies retailers with own-label biscuits and includes well-known brands like Rocky, Classic and Echo.

Alongside its UK market, the firm exports to Europe, North America and the Far East.

The company was acquired by Northern Foods in 1977.

Northern Foods supplies biscuits, ready meals, pizzas, sandwiches and salads to customers including Marks & Spencer, Sainsbury’s, Aldi and Netto. It is home to major brands including Goodfella’s and San Marco pizzas and Holland’s pie.

The announcement came as Northern Foods reported posted an 8.8% rise in underlying revenues for the 13 weeks to March 28 – a big improvement on the 3% reported for the previous quarter.

Delivering its trading update, Northern Foods reported a 12.2% rise in sales of chilled foods – helped by progress in ready meals after the group secured more trade with discount stores including Poundland.

It also extended value ranges in pizza and sandwiches and maintained its business with long-term customers such as M&S.