About 150 workers at Moulton Park-based factory Plastmo were told in April their jobs were safe after the company was bought from the receivers by double glazing firm Eurocell.

But yesterday, Eurocell announced it planned to close the factory and move all its work to Derbyshire.

A spokesman for the firm said: "Eurocell has announced it intends to close production facilities at Northampton and transfer manufacture to Alfreton in Derbyshire.

"The Plastmo brand will continue, and a new customer service office will be established at Northampton, retaining the commercial staff currently working at the site on Moulton Park."

The firm's spokesman blamed the current economic climate on the move, adding: "Eurocell acquired the ongoing business interests of Plastmo Profiles Ltd in April and has successfully secured its trading position with customers.

"However, the economic downturn in the construction industry and significant ongoing investment required at the Northampton plant has meant the manufacturing site is no longer commercially viable. In addition to the commercial staff being retained, some other positions will relocate to Alfreton."

The company has said it is not yet possible to say how many jobs will be retained in Northampton, but union leaders are known to have been holding talks with company bosses.

A spokesman for Unite said: "We are aware of the situation and we have represented employees at some one-to-one meetings.

"We are not officially recognised at the factory but we have got individual members and we have been representing them."

Plastmo went into receivership at the end of March after 40 years making PVC products. Eurocell stepped in to buy the firm at the beginning of April. One worker at the Lowe Farm Road factory said staff were devastated.

He said: "We've all had notice telling us what's going to happen and it's come as a real blow so soon after the last news."