Paving stone maker Marshalls is shutting two factories with the loss of 200 jobs as the collapse in demand from the new-build housing market continues to plague manufacturers.

The factories that will close are in Cannock, Staffordshire, and Sawley, Nottinghamshire.

Marshalls said it was unable to put a figure on the job losses, but trade unions said about 140 workers and up to 50 managers may be made redundant.

A spokesperson for Marshalls said: “Consultations with employees are continuing. Wherever possible, they will be given the opportunity to apply for other vacancies within the Marshalls Group.”

The company added the Sawley plant would be retained as a regional distribution centre.

Meanwhile, global materials giant Wolseley has axed the positions of UK managing director and HR director as part of continued cost-cutting measures.