A PACKAGING firm has vowed to create jobs in a £1.8m factory move.

Encore Packaging Solutions, formerly of Washington, Wearside, says it will deliver up to 25 posts at its new 73,000sq ft plant in Peterlee, east Durham.

Bosses say they have also spent more than £2m on equipment and machinery, as they bid to lift their workforce from 12 to 37 people.

They added the business’ sister company, Encore Envelopes, will remain on Wearside.

Mike Williamson, Encore Packaging Solutions’, financial director, said: “With demand increasing, the relocation to Peterlee will offer us the additional space we need now, while also providing room for further expansion as we secure new contracts.

“As our packaging division continues to go from strength to strength, it was imperative we found a site that would provide us with space to grow, had good transport links, and was in easy reach of our Washington base.

“Peterlee Business Park met all those requirements.”

The company, which makes corrugated packaging and printed folding cartons, was supported by Business Durham, Durham County Council’s business division.

Peter Rippingale, Business Durham inward investment manager, added: “Encore is just the sort of manufacturing business we’re delighted to see in County Durham.

“Not only is the company successful in a concentrated market, it has picked a great location to expand and create new jobs.”

The company also received help from Royal Bank of Scotland.