Economy of York

Today's economic position is very different from the 1950s, when its prosperity was based on chocolate manufacturing and the railways. This position continued until the early 1980s when 30% of the workforce were employed by just five employers and 75% of manufacturing jobs were in four companies. Most industry around the railway has gone, including the carriage works (known as Asea Brown Boveri or ABB at the time of closure) which at its height in 1880s employed 5,500 people but closed in the mid-1990s. York is the headquarters of the confectionery manufacturer Nestlé York (formerly Nestlé Rowntrees) and home to the KitKat and eponymous Yorkie bar chocolate brands. Terry's chocolate factory, makers of the Chocolate Orange, was located in the city; but it closed on 30 September 2005, when production was moved by its owners, Kraft Foods, to Poland. The historic factory building is situated next to the Knavesmire racecourse.

It was announced on 20 September 2006 that Nestlé would cut 645 jobs at the Rowntree's chocolate factory in York. This came after a number of other job losses in the city at Aviva, British Sugar and Terry's chocolate factory. Despite this, the employment situation in York remained fairly buoyant until the effects of the late 2000s recession began to be felt.