For many years now the clothing and textile industry in the UK has suffered decline and depression. Thousands of people have been employed in many factories large and small in the UK, but jobs are disappearing fast. The industry doesn't have large supernames, so it doesn't get the same reaction or response as when Rover jobs or Ford jobs are under threat in the motor industry, or when Corus/British Steel jobs are under threat.

Yesterday, one of the largest companies in the sector, the £1.6 billion turnover Coats Viyella Plc announced their intention to dispose of their UK Contract Clothing, Home Furnishings and Branded Clothing businesses.

The DTI and DfEE have been working with textile industry representatives to implement the recommendations of the Textile and Clothing Strategy Group.

Trade and Industry Secretary Stephen Byers and Employment Minister Tessa Jowell have promised a rapid and effective response to the announcement by Coats Viyella that it is to dispose of most of its clothing businesses.

Mr Byers said, "I will today ask Regional Development Agencies in the affected areas to work with Coats Viyella to find buyers able to inject investment to make the businesses competitive. Invest UK will also have a role to play. Some of the factories are in areas eligible for grant assistance. We will monitor the situation closely, working with the RDA and DfEE to help any employees if a suitable purchaser cannot be found."

"In June the Government announced a twelve point plan to help the textile industry. This includes measures to help exporters, support UK design talent and promote and develop new technical developments for the industry. This action is essential if the industry is to equip itself for the challenges of the new knowledge driven economy. We will do everything we can to support those workers who are potentially affected by this decision."

Tessa Jowell said, "The Employment Service will work in partnership with Coats Viyella, the local authorities, Chambers of Commerce and TECs to provide a package of advice and assistance tailored to the needs of those who are made redundant as the result of the company's decision. They will benefit from all the support and advice offered by the Rapid Response Units which are co-ordinated by the Employment Service and were set up to deal with major job losses. These have proved to be highly effective in the help that they provide."