Hopes of saving car manufacturing at TVR in Blackpool have been dashed after the company announced it was halting production with no plans to restart. The 158 workers will be laid off immediately.

TVR, owned by the Russian businessman Nikolai Smolensky, said last month it would shut the plant and move production to continental Europe from next year.

Yesterday TVR managing director David Oxley said: "We are continuing to talk to a number of people about plans they are putting forward for the Bristol Avenue factory but in the meantime we need to ensure we are ready to move production as quickly and efficiently as possible."