Rolls-Royce workers were left stunned today after being told 295 jobs are to be axed.

The company dropped the bombshell news to staff this morning that nearly a third of the workforce in Barnoldswick was to be made redundant by next spring.

The company, which employs 1,080 people, said it is now looking at closing the Ghyll Brow plant and concentrating production at Bankfield.

Employees at the factories, where fan blades for aero engines have been made since the Second World War, were told the losses are a direct result of the terrorist attacks on New York's World Trade Centre on September 11.

The announcements follows the company's statement of October 19 when it said the impact on its civil aerospace business meant it needed to reduce the number of permanent employees by 5,000 worldwide. Of these proposed job reductions, 3,800 would be in the UK.

Since October 19 the company says it has given "detailed consideration" to where the job reductions will be required. This has included the expected impact on company revenue in 2002, costs and productivity.

Today's announcement may not be the end of job losses at the Barnoldswick sites.

The company claim that a further 600 jobs are to go in the UK, and that could mean further losses on Barnoldswick.

Additionally, Rolls-Royce confirmed the loss of 1,000 temporary jobs worldwide, which will be completed by the end of 2002.

Today's announcement is another blow for industry in East Lancashire. Earlier in the week Airtours and BAe Systems said that between them they will shed almost 3,000 jobs.

Chief executive in Barnoldswick John Rose and other senior management were not commenting on the announcement.

A spokesman for Rolls Royce said: "Every effort will be made to achieve these job reductions by means of voluntary severance, early retirement, re-training and re-deployment.

"In addition, employees who are declared redundant will be able to spend eight weeks in one of the network of Rolls-Royce Resource Centres to help them in their search for alternative employment."

Pendle MP Gordon Prentice said: "This is a body blow to Barnoldswick, the town where I live, and to East Lancashire.

"There were rumours flying about that there would be job losses, but I discredited them.

"This will be a huge blow to the town. It will also be a huge blow to many aerospace companies throughout East Lancashire.

"It will be a grim Christmas for many people in East Lancashire and Barnoldswick. This is down to September 11, we need to get people flying again.

Mr Prentice says he will press ministers in Westminster to do what they can for the industry.

Barnoldswick councillor David Whipp described the news of the job losses as devastating and a severe the economy of the area.

He said: "This figure is about a third of the workforce. It's very significant and quite devastating.

"I think people have been hoping against hope that if there was anything it would be fairly insignificant.

"I can't help but feel that a lot of the workforce will feel extremely bitter at this announcement and rightly so.

"The two principle areas developed at Rolls Royce in Barnoldswick are the wide cord fan blade and the front bearing housing.

"The skill and dedication of the workforce in Barnoldswick has helped develop these parts and I feel a lot of the workers may feel they have been treated very badly and stabbed in the back basically.

"As far as the town is concerned 295 is a lot of people and a lot of cash that won't be flowing in for the local economy.

"Rolls Royce fuels the engine of the local economy with the size of its workforce and there will be a knock on effect for Barnoldswick and the surrounding area.

"Although as local representatives we don't have any power to dictate to Rolls Royce what they do or don't do, we have to look at the campaign to diversify away from depending on big manufacturers like Rolls Royce and insulate ourselves against such devastating shocks."John Cheffins, Operating Officer of Rolls-Royce, said: "We regret having to make these job reductions, but we expect our revenue in 2002 to be about £1 billion less than we had expected, with civil aero engine deliveries reduced by 30 per cent.

"This is a result of customers re-scheduling deliveries in the civil aerospace business as a direct result of the events of September 11.

"As a consequence we need to align our cost base and capacity with demand."