MORE than 1,000 British workers are to lose their jobs at crippled US energy giant Enron, administrators confirmed last night.

But the group's 900 employees on Teesside looked to be safe after it emerged that the majority of jobs would go at Enron's energy trading headquarters in London.

Accountants PricewaterhouseCoopers, appointed administrators to the group's European holding company on Thursday, said 1,100 staff were being made redundant.

About 250 staff are being kept on in the capital to help the administrators wind up the business.

Enron's European trading activities were funded directly from its head office in Houston, but its other UK businesses - including the Teesside arms - are self-financing and should survive.

Enron only owns a 50 per cent share of the two sites it operates on Teesside. They include the former ICI Wilton complex and Europe's biggest gas-fired power station.

A presentation was made to Enron's bankers yesterday afternoon where it was hoped to prove that the Teesside companies are profitable, positive and robust.

In the North-East, Enron's assets are split into Etol (Enron Teesside Operation Limited) and Epol (Enron Power Operations Limited).

Terry Waldron, spokesman for Enron, said: "It remains business as usual."

Mike Brider, from the TGWU said: "In terms of the business and the long term future, the workforce is upbeat."

Enron was forced to call in administrators when a rescue deal fell through earlier this week.

Yesterday the true extent of the company's collapse was becoming clear.

Former building society Abbey National saw shares slide as it revealed it had lent the group £115m. The bank said it was expecting as a worst case scenario to lose up to £95m.

National Australia Bank, which owns Yorkshire Bank, said it could face losses of up to £141m