A SWEET maker employing workers across the region has unveiled restructuring plans to shore up profits.

Nestlé is taking action after missing forecasts and enduring a sluggish performance in China.

The company, which has plants in York and Fawdon, Newcastle, saw net profits slide six per cent to £6.8bn in the year ending December 2016, down from £7.2bn for 2015.

Revenues increased marginally to £71.4bn but the company suffered a double-digit decline from Chinese food company Yinlu, in which Nestlé took a 60 per cent stake in 2011.

Mark Schneider, chief executive, said the business is seeking to make “significant structural cost savings” by 2020.

He added: “We saw a solid trading operating profit margin improvement and our cash flow grew significantly.

“In order to drive future profitability, we plan to increase restructuring costs considerably in 2017.”

Nestlé’s York site is known for making KitKat, Yorkie and Aero treats, with Fawdon producing brands such as Rolo, Munchies and Toffee Crisp.

Workers at the plants last year secured a fresh pensions agreement, which unions said safeguarded a defined benefit scheme and gave production staff a pay rise.