Axed Nestle workers will be encouraged to set up their own firms

Some of the new work could be created through Nestle staff being given opportunities to create their own businesses.

So says the draft planning brief published by City of York Council, which will provide guidelines for developers wanting to create homes and employment on the southern end of the factory site.

When Nestle announced the redundancies last autumn, it also revealed that it was planning to sell a section of land to raise money to invest £20 million elsewhere on the site.

As The Press reported yesterday the blueprint is set to be approved by City of York Council's planning committee next week, after which it will go out to public consultation. The brief states: "It is considered that the recent job losses announced by Nestle could be replaced on site through a mixed-use development."

It says older Rowntree buildings were unlikely to meet the requirements of modern office occupiers, such as in energy efficiency or raised floors for IT wiring.

"However, early feasibility studies should explore the possibility and implications of retrofitting the buildings in order to improve thermal performance, accessibility, integration of communications and other IT equipment and services."

The report says the redevelopment provided great opportunities for creative and technology based industries. It says craft and art studios should be considered positively, "given the lack of this type of facility in York.

The opportunity exists to create a true community feel, with a range of jobs for local people in a range of possible career paths, including smaller workshops and business premises."

The report also claims: "Nestle may be interested in developing new products out of its research and development labs on site, and giving opportunities for staff to create their own businesses."

A Nestle spokeswoman said: "It is not appropriate to comment publicly on the draft brief until we have fed our comments back to the council."