A £20 million state-of-the-art recycling centre will shut next week, just over a year after it first opened.
About 70 people are set to lose their jobs after Avondale Advanced Waste Management centre in Polmont, Falkirk, announced it will close on 31 May.
Bosses at the centre said the materials recycling facility (MRF), which opened on 1 February, 2012, would be a springboard for further development, “firmly rooting” Avondale in recycling and renewables.
But after just 16 months in business the facility has been forced to close its doors under increasing financial pressures.
There was hope the plant might stay open following talks with the Scottish Government and Falkirk Council, but a series of financial constraints means there is no short-term future.
The council now faces extra costs for sending more waste to landfill instead of the MRF, but Avondale says it could re-open some time in the future.
Director John Holt said: “The decision has been taken in light of the weak economy.”
“However, while the short-term outlook is poor, the company is positive about the longer-term opportunities for the MRF when economic and infrastructure circumstances improve.
“We’ll continue to maintain the MRF until it becomes viable to re-open it.”
Speaking about the loss of jobs he added: “Sadly, this decision means that 70 members of staff have been notified that they are being made redundant. We will be providing support for everyone affected by this decision.”