UK ready meals maker Northern Foods has confirmed that 349 jobs are on the line as it considers a proposal to close its manufacturing facility in Hull.

Northern Foods proposed the closure of the facility after losing a supply contract with Morrisons, a spokesperson for the group told just-food.

“We lost a contract with Morrisons as we weren’t able to agree terms that were commercially viable. The Hull site was pretty much dedicated to supplying Morrisons and we have therefore proposed to close the facility,” the spokesperson said.

The company commenced the compulsory 90-day worker consultation today (27 May).

The move follows last year’s decision to mothball the company’s Fenland Foods Italian ready meals facility in Grantham after losing a supply contract with Marks and Spencer.