CHEMICALS group Elementis has said that its restructuring programme - which saw more than 100 jobs axed on Teesside - was paying dividends for the company earlier than anticipated.

The firm, which is the world's biggest producer of chromium chemicals, announced that about £2m of savings due to be delivered next year had already kicked in.

As part of the company restructure, Elementis cut 114 jobs at its plant at Urlay Nook, near Yarm, on Teesside, which halved the size of the operation.

Elementis indicated in its half-year results that it had helped towards cost savings of £6.8m in the six months to May.

Last night, a company spokesman told The Northern Echo there were no more plans to adjust the size of its Teesside site, which still employs 118 people.

In a trading statement, Elementis said its full-year trading performance was in line with expectations, and market conditions for the second half of the year have remained largely unchanged.

The company will announce its preliminary full-year results in February.