A BLACKBURN bus maker has announced it will switch production to a new factory in the area, in a move welcomed by business chiefs.

The decision by Optare to relocate from its Whitebirk site to the former Corus plant at Walker Business Park, Guide, safeguards the future of around 300 jobs.

Mike Damms, chief executive of East Lancashire Chamber of Commerce, said Optare’s commitment to the area showed that it was an attractive place to do business.

Andrew Brian, chief executive of Optare, said: “Optare is in the middle of an exciting phase of development and expansion which will see it establish the UK’s most advanced bus manufacturing plant here in Blackburn.

“This will provide a boost to the local economy both in terms of direct employment and through other local firms with which we do business.”

The company has taken a lease on the 280,000 square feet former Corus plant where it has already begun a multi-million pound refurbishment. The move is expected to bring significant job opportunities as Optare undertakes a recruitment programme.

Optare expects to increase output by moving to the new site and hopes to be in the new factory by early next year.

For the moment the company is not revealing its plans in detail ahead of its presence at Europe’s largest bus show in Birmingham early next month.

Optare is the new name for the Darwen Group which bought out East Lancashire Coachbuilders in 2007. In July 2008 the Darwen Group took over the much larger Optare Group Ltd to form the AIM listed company Optare plc which is heading this latest expansion.

Mr Damms said: “I am delighted a manufacturing company has made a conscious decision to stay.

“It reflects that if the property offer is right and the skills base is right then it’s a winning combination.

“They said from the outset they would develop their business and they are.”