CURRENCY printers De La Rue has offered redundancy to dozens of staff from its paper production plant in Overton, the Advertiser can reveal.

The bank note printers has confirmed that it has offered voluntary redundancy to 40 members of staff at the Overton paper mill.

According to a source the firm, which produces more than 150 national currencies, including the pound sterling, is planning to scale down its production and buy in paper from other companies.

The news comes just a week after Scotland circulated its first plastic bank notes, which are also set to replace paper notes in England by 2016.

The source, who said employees were asked not to speak to the press about the announcement, claims it is “the beginning of the end” for papermaking in Overton, which has been at the heart of the village since 1922.

The source said: “It’s sad that it has come to this.

“I genuinely believe this is the beginning of the end for papermaking in Overton after many years.

“The company says it is fighting to keep it open but reading between the lines there’s a lot of uncertainty.”

Asked what impact it would have on the workforce the source added: “There are people who have worked there for decades since leaving school.

“It’s the younger members with families that I most feel sorry for and I know a lot of the older staff have taken the redundancy so the younger ones don’t have to.”

De La Rue confirmed the redundancies in a statement released to the Advertiser.

A spokesman said: “Market conditions are challenging and we need to maximise efficiencies to remain competitive.

“We have engaged with Unite and the UK Employee Forum regarding a proposed headcount reduction at Overton Mill and are optimistic that with our flexible supply chain model and by working with the union we can mitigate the need for compulsory redundancies.

“We anticipate that there will be approximately 40 redundancies at the site.”