The luxury handbag maker Mulberry, which has its headquarters in Chilcompton, announced this morning (June 8) that it is going to cut 25 per cent of its workforce as it can only see a gradual recovery of its sales.

The job losses are expected to have a big impact on the Chilcompton site - sources told Shepton Mallet Nub News that affected staff members were told on a video call at 10am this morning.

The company said most of its shops are still shut worldwide, though some had reopened in China and South Korea.

Digital sales have performed well, but it was not enough to offset the impact of the store closures.

Chief executive Thierry Andretta said: "In spite of the good performance of our sector-leading digital and omni-channel platform, and our global network of digital concessions, the shutting of all our physical stores has had, and will continue to have, a marked effect on our business.

"Launching a consultation process has been an incredibly difficult decision for us to make but it is necessary for us to respond to these challenging market conditions, protect the maximum number of jobs possible and safeguard the future of the business. We remain confident in the strength of the Mulberry brand and our strategy over the long-term."