Philips to close its UK factory in 2020, with loss of 400 jobs

Dutch health technology company Philips said on Thursday it plans to close its only factory in Britain in 2020, with the loss of around 400 jobs.

The move is part of a push by Philips to reduce its large manufacturing sites worldwide to 30 from 50, and has no direct link with Britain`s decision to leave the European Union, a spokesman said.

The factory in Glemsford, Suffolk, produces babycare products, mainly for export to other European countries. Almost all its activities will move to Philips` plant in Drachten, the Netherlands, which already employs around 2,000 workers.

"We have announced the proposal after careful consideration, and over the next period, we will work closely with the impacted colleagues on next steps," said Neil Mesher, CEO of Philips UK & Ireland.

"The UK is an important market for us, and we will continue to invest in our commercial organization and innovation programmes in the country."

Once a sprawling conglomerate, Philips has transformed itself into a health technology specialist in recent years, shedding its consumer electronics and lighting divisions.