The supplier ceased production of its timber frames for social housing construction blaming a slump in the market caused by 40% Government cuts to the affordable housing budget.
The firm stressed its 40 remaining staff in Suffolk would continue to produce roof trusses and flooring components for mainly private sector homes and planned to move to smaller premises on the outskirts of Bury.
Nicholas Howarth, managing director of the Howarth Timber Group, which is based in Leeds and operates across the country, said: “The Government cuts have really only impacted significantly in 2012 because they were delayed.
“They’ve still got further to go and will run for another two to three years. We saw the losses we were making on the timber frame side growing.”