Northern Foods said its profits had soared 21% in the last year, with a 9% growth due to rising demand for chilled foods during the hot summer weather.

A �9m expansion has been planned for its Corby production plant, after sales rose from �33m to �40m a year.

But the Leeds-based firm said profits in its biscuits market and ready meals had taken a dip.

In January, Northern Foods, which manufactures Goodfella's Pizza and the Fox's biscuit brand, sold off its speciality bread, chilled pastry, cakes and flour mill operations to London investment firm Vision Capital for �160m, in an attempt to improve profits.