AN injection moulding company has praised a business organisation’s support after starting work on a warehouse expansion.

Icon Plastics is building the extension at its base in Eaglescliffe, near Stockton, to meet rising demand.

The move comes after the firm, which focuses on plastic components for the automotive, agricultural, construction, electronics and telecoms sectors, spent thousands on new machinery and equipment.

The business bought its premises about three years ago with the help of £200,000 backing from UK Steel Enterprise (UKSE), Tata Steel’s business support subsidiary.

Gareth Thomas, managing director, who bought the company in 2008, said the cash was invaluable, adding the firm may have been otherwise forced to downsize and shift some work abroad.

He said: “Without UKSE’s investment and support the business would not have grown and been as successful as it has.

“Since we received that finance we have increased our workforce from 25 to 60, have almost doubled our injection moulding machine capacity from 16 machines to 28 and are operating 24-hour shifts five days a week.”

The UKSE investment included a £100,000 loan and a £100,000 grant from a scheme backed by the Government’s Regional Growth Fund.

Sarah Thorpe, UKSE’s area manager, said Icon was a strong company.

She added: “Our remit is to support businesses with the potential to grow and create jobs in steel areas and Icon Plastics is a definite success story for Teesside.”