HUNDREDS of power workers in the Ipswich area should get a clearer idea of their future tomorrow - and there are fears this could herald a new round of substantial job losses.

HUNDREDS of power workers in the Ipswich area should get a clearer idea of their future tomorrow - and there are fears this could herald a new round of substantial job losses.

Officials at the European Union are today due to tell Powergen whether it can take over the retail business of TXU Energi.

Bosses at Powergen have arranged briefings for staff in the Ipswich area tomorrow to tell them about the changes set to be introduced in the New Year.

Powergen bosses have been given strong indications that the EU will announce its decision today – but do not know exactly when the news will come through.

"It could be anytime up to midnight, they keep strange hours," said a Powergen spokesman today.

"But we have organised briefings across the company on the understanding that the announcement will be made."

Powergen's takeover of the retail business of TXU came after the American-owned company got into severe financial difficulties in October.

The deal was rapidly cleared by the British government, but because it was so large needed EU clearance as well.

Powergen, which is owned by German energy giant E-On, is confident that the EU will give permission for the deal.

That will prompt it to absorb the TXU Energi business into its existing organisation – and is likely to lead to job losses.

Powergen has promised to retain a "substantial" presence in the Ipswich area, and TXU's headquarters at Wherstead Park is included in the deal.

However there are fears that ultimately the business could be left with about 500 employees in the area rather than the more than 1,000 currently employed.