The last surviving Terry who managed the York chocolate factory returned to the Bishopthorpe Road site today and declared: "This is a tragic moment - for the more than 300 who work here, for past employees, for years of history."

Peter Terry, aged 85, travelled from his home in Brandsby, near Easingwold, to bid a sad farewell to the York factory which for five generations bore his name.

He bitterly attacked "people from abroad who take over without having a local interest".

Mr Terry, former deputy managing director and sales director, ironically, was made "president of Terry's for life" by Lord Laing, of United Biscuits, when the conglomerate acquired the factory from Colgate Palmolive in 1982. He stayed on for another three years as a consultant.

He said: "It is wrong when people far away are guided in their decisions by the logic of the ledger book and not by a feel for the interests of the local community."

There was no doubting the Terry family had that feel, he said. His great grandfather, Sir Joseph Terry, son and namesake of the original Joseph Terry who gave his name to the firm, was Lord Mayor of York, and Sir Francis Terry - one of Joseph junior's sons - was a York councillor. His own father, Noel Terry, worked hard for the York Civic Trust.

Ever since Joseph Terry joined a confection-making partnership in 1823, then took over the company five years later, the factory had a reputation for looking after its employees, which at one time numbered more than 2,500.

"We had a picture gallery of people who had worked there for 50 years. Many of them are still alive. They must feel like I do - almost as though there has been a loss in the family," Mr Terry said.

Updated: 10:54 Tuesday, April 20, 2004