More than 1,000 jobs are under threat at a shipyard in Cumbria.

Managers at BAE Systems in Barrow-in-Furness have admitted to the council that layoffs of at least 500 people are likely because of a gap in the order books.

Barrow-in-Furness Borough Council leader Terry Waiting told BBC Radio Cumbria he had been informed between 500 and 1,500 people could lose their jobs.

Work on the landing assault ships Albion and Bulwark is due to finish by the end of 2003, but construction does not start on the next batch of orders straightaway.

Around 4,000 people are currently employed at the yard.

Union talks

A campaign has now been launched to build a new future for the town.

Mr Waiting said help from the county council and the government was needed for the town to survive.

"We have all got to make sure that Barrow is here for our children and our grandchildren, to make sure that they have the same town that we inherited," he said.

"We have to recognise that Barrow is worth it and we can do it, but only if we all pull together."

It is understood a decision on the jobs will be made within six weeks.

BAE Systems said it regularly reviews employment levels, and would first discuss any proposed changes with the shipyard trade unions.