Administrators in at teabag firm

Administrators have been called in at teabag maker JR Crompton Limited following cashflow problems.

"No jobs are currently at threat and the business is trading as normal," said administrator Nick Dargan.

The firm, which has a turnover of around £70m, has bases in Gloucestershire, Devon and Manchester.

Three specialist paper mills are sited at Lydney (270 staff), Devon Valley Mill, at Hele (56 staff) and Simpson Clough near Manchester (110 staff).

The business was originally established in 1852 and remains one of the world's biggest producers of paper products.

"It has been a very successful business for many years and, whilst there are a number of balance sheet issues that need to be resolved, can still be a major player in the future," said Mr Dargan, of Deloitte UK.