The jobs of workers at North Yorkshire's biggest power station are under threat.

Drax Power Station near Selby could be faced with cutting jobs following after the collapse of the plant's main customer, the European energy trader, TXU.

The American power group TXU has put a string of its European businesses into administration leading to the termination of the contract with Drax.

The Liberal Democrat's Trade and Industry spokesman Vince Cable says the collapse of TXU in Europe will cause "great concern for the workforce at Drax who could lose their livelihoods."

A spokesman for Drax says the company is continuing to monitor all developments in the UK power sector.

He added the plant was continuing to operate normally.