Raymarine is to close its Portsmouth factory in 2006 with the loss of 250 jobs as it seeks a cheaper labour force in one of three low cost countries.

The Raymarine Board estimates the ‘outsourcing’ will save £5 million in 2007, £10 million in 2008, £10.5 million in 2009, and £11 million from 2010 onwards.

The areas under consideration for the new Raymarine factory are China, Mexico and Eastern Europe.