Caledonian is currently in consultation with its staff representatives at Driffield with operations set to transfer to its principal manufacturing facility in Newark.

Caledonian bosses said the streamlining is part of a transformation programme that “will see the business double revenues over the next three years.”

Job losses at Driffield are expected to be minimal with key roles transferred to Newark.

A spokesman for Caledonian Modular said: “Caledonian has ambitious plans to double revenue over the next few years and has a clear business plan that sets out its strategy and growth objectives, in conjunction with an ongoing investment in its manufacturing facilities and its people”.

The Newark factory is situated on a 40 acre site, which is the largest single modular manufacturing facility in the UK and has capacity to fulfill the company’s expansion plans over the coming years.

The company said: “A further 160 jobs could be created at the Newark facility over the next 18 months.”

Caledonian Modular is a subsidiary of Champion Homes – the largest offsite house builder in the US with annual revenues in excess of £540m.