After much speculation, US food manufacturer Kraft Foods has announced it is closing its Terry’s chocolate factory in York next year.

The closure will lead to 316 redundancies as production of Terry’s Chocolate Orange and other brands moves to European facilities, such as those in Belgium, Poland, Sweden and Slovakia.

Closure of the plant will mark the end of an era for industry in York. Terry’s was founded in the late 18th Century and moved to its present factory near York Racecourse in 1926.

Unions are now negotiating a settlement with Kraft Foods on behalf of the employees, reported the BBC.