Northern Foods is to mothball its ready meals factory Fenland Foods in Grantham, Lincolnshire.

The food manufacturer said it had resigned supply of most of the Marks & Spencer product lines produced at the site, which accounted for £45m of its annual sales.

It had started a consultation to cease production at the site and mothball the facility from August this year.

“The Fenland facility would remain mothballed while we explore opportunities to secure profitable new business with other customers for the site,” said CEO Stefan Barden.