2 Sisters Food Group has announced a GBP10m investment at its Gunstones Bakery site in Dronfield in the UK.

The company is to expand capacity at the site by 25% with an increase of the production of hot cross buns and iced and spiced products.

The factory previously produced two types of hot cross bun products. Production has started and will eventually see the addition of a further four lines. Marks and Spencer will be the retailer supplied with the products.

Kirk Connor, Gunstones site director, said: “This is a fantastic facility for Gunstones Bakery and has helped protect jobs in the local community.

“We’re well known for baking some of the best products in the business, and this new facility will only enhance that reputation. We’re really delighted to have got this on track and show our customers and our employees that we mean business.”

News of investment comes after a series of moves by 2 Sisters to cut jobs in other parts of its production network.

Earlier this month, the company set out plans to cut around 80 jobs at its Fox’s biscuits plant in Batley, West Yorkshire.

Last month, 2 Sistersstarted talks with union officials representing workers at its Llangefni poultry site over more possible cuts.