The Swift Group is making up to 5 per cent of its workforce redundant, although it insists the long-term outlook for the company remains positive.

The Hull-based manufacturer plans to restart production on 1 September, and will continue to furlough most of its employees until then.

In a statement, it said it had also seen an increase in interest in its caravans from a wider proportion of the population who are now looking at staycations because of concerns about the pandemic.

“But it will inevitably take time for the interest to convert into sales,” it adds.

The company goes on to say that there remains a challenging and uncertain period ahead, “and undoubtedly the ongoing implications of Covid-19 will continue to impact on the caravan industry”.

It is entering into a period of consultation about the redundancies, which it says are part of a number of actions it is taking to “ensure the business and as many jobs as possible are protected for the longer term”.

Managing director James Turner said, “We will work closely with our employees over the coming weeks to ensure there is strong and considerate communication throughout and that any action we take is done so responsibly and professionally, and with the utmost dignity and respect for all those involved.”