Production of a fire-hit bakery firm's entire range will be up and running within a month, company bosses pledged today.

All 71 Peter's the Bakers stores from Northumberland to North Yorkshire are pencilled in to re-open on Monday May 24, only 29 days after fire swept through the company's Durham headquarters bakery, last Sunday.

Confirmation was given to senior staff yesterday that the jobs of the entire 700-strong workforce, including 150 production and administrative staff from the fire-ravaged Dragonville Industrial Estate site, are safe.

There were fears for the future of the family-run firm in the aftermath of the blaze, which has been smouldering since Sunday's outbreak. Fifty workers safely evacuated the plant, but huge plumes of black smoke could be seen up to 30-miles away as 12 fire crews fought to control the blaze.

Police and fire investigators were still at the scene yesterday trying to pinpoint the cause.

Since the fire Peter's shops have remained closed while contingency measures were made to resume production.

Round-the-clock efforts are being made to transfer production to the disused former Hibernia foods factory, on Peterlee's North-East Industrial Estate.

But the family-run Durham firm said the move to Peterlee would be a temporary measure while the Dragonville base is re-built and expanded, with the ultimate aim of re-opening in a year's time.

News of the hastily-arranged plans were announced to relieved Peter's shop and line managers at the Bowburn Hall Hotel, near Durham, today.

Peter's fleet of bakery delivery vans are being requisitioned to move in hired ovens and other production equipment to try to meet the May 24 target.

Retail sales and business development manager Alan Dixon was greeted with applause when he confirmed no jobs would be lost and staff would continue to be paid during the post-fire lull in production.

"It hasn't been an enjoyable week, but this was one of the most pleasurable tasks I've had," said Mr Dixon, after making the announcement. "It's important to allay concerns so they know they can meet all their financial commitments.

"It's manna from heaven to have a facility like the old Hibernia bakery available to move into, to re-commence trading as soon as possible. "The plan is to re-open the shops on May 24 with our full range of freshly-baked produce."

Among the relieved workforce at the meeting was Peter's Seaham shop manager Zena Booth.

"We feared the worse after the fire, but this has put our minds at rest.

"It's great news, we're over the moon," said Zena, who feared her summer holiday would be under threat if there were shop closures.