The firm says it is part of a "major restructure and investment programme to improve the competitiveness of its business" and will mean a small number of products, including Smarties, being moved to other sites in the UK and Europe. Smarties will be manufactured in Germany.
This is not the first time Smarties has undergone a change recently, following the move to get rid of blue Smarties in May when the use of artificial colours was ended and the switching from the round tube to a hexagonal one after 67 years in February 2005.
The redevelopment of the York site will lead to a loss of 645 jobs in York, while a 拢20m investment is being made to expand facilities on the site to help safeguard long-term employment for more than 1,800 staff.
Alastair Sykes, CEO of Nestle UK, said: "The UK confectionery market is very competitive. Our Nestle Rowntree business has market-leading brands and strong potential, and this restructure and investment programme will ensure that it is competitive and fit for the future."
Paul Grimwood, managing director of Nestle Rowntree, added: "These plans will streamline our operations, strengthen our competitive position and establish our York factory as a state-of-the-art manufacturing site for the future, helping to safeguard long-term employment for over 1,800 of our employees in York."
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