PLANNED investment to improve the infrastructure, roads and flood defences in Ulverston will still go ahead, the head of a regeneration body has vowed, despite GSK's announcement that it was looking at divesting its facility in the town.

Last week, the drugs giant announced it was considering scrapping and selling its cephalosporins antibiotics business and pulling out of plans to build a £350m biopharmaceutical facility in Ulverston.

The cephalosporins group of antibiotics are manufactured at GSK's Italian base in Verona, in part of its facility at Barnard Castle and is responsible for the entire operation at its North Lonsdale Road site.

In its review, GSK will look at divesting the cephalosporins arm of the business, which has thrown the jobs of the 250 Ulverston workers in doubt.

In light of GSK's announcement, Cumbria's Local Enterprise Partnership has been forced to question whether or not a planned £15m investment in the town will still go ahead, considering that much of the work had, in part, been in response to the new £350m facility.

The LEP is investing £4.5m in South Ulverston for infrastructure improvements, a further £5m in flood resilience measures in and round the town, a new £1.7m Cross-a-Moor junction to accelerate delivery of 900 new homes and £4.5m to implement junction improvements in the town.

LEP chair George Beveridge said GSK's announcement was "hugely disappointing for the town and the Cumbrian economy".

He added: "We will continue to work with GSE and any subsequent owners to support the existing site and do whatever we can to safeguard the jobs of local people.

"That will also entail engaging with local authorities, our MPs and other stakeholders and playing an active role in trying to secure a viable long-term future for the site."

GSK first announced it was set to build the £350m biopharm plant back in December 2009 in response to the Conservative government's new 'patent box' - a reduced rate of corporation tax to income from patents.

However, over the last nine months rumours had begun to spread around Ulverston that the investment was no longer going ahead.

The Mail first contacted GSK last October to ask if they were planning on pulling out of the biopharm facility plans.

After repeated requests, the drugs giant responded with a statement in December, in which they would say only that they were "revisiting planning assumptions for the site" and declined to answer categorically 'yes' or 'no' when asked if the investment was being scrapped.

The LEP now plans to meet with GSK bosses in a bid to help secure the site's future.

Mr Beveridge added: "Firstly, we need to meet with the site owners and explore where we might be able to support them so that, if possible, the site can continue under its present use and the current workforce is protected.

"If GSK decides to sell the site, the investments we are making in and around Ulverston will all help to make it more attractive to prospective new owners, in terms of infrastructure, housing and transport connectivity."