THE owners of the last fish cannery in the UK have secured £12.5m bank funding to help capitalise on growing demand for oily fish such as mackerel.

HSBC has provided a finance package that the Clark family will draw on to invest in the expansion of their International Fish Canners business and the Nor-Sea Foods operation.

The bank said the investment is expected to help secure the jobs of the 55O employees at the businesses.

Based in Fraserburgh, IFC cans fish such as mackerel and sardines. It produces for 40 brand names in 17 countries and also supplies own brand products to retailers.

Nor-Sea, which has bases in Fraserburgh and Aberdeen, smokes fish for sale in the own-label market and under its Neptune brand.

HSBC noted varieties of fish that are rich in Omega-3 oil, such as mackerel, have been enjoying a big increase in popularity amid interest in healthy eating.

Francis Clark, Director of International Fish Canners and Nor-Sea, said HSBC could help the businesses grow in international markets.

John Caldwell, HSBC's relationship director for corporate banking in Aberdeen, described the firms as beacons for Scottish business with products that are seen and eaten around the world.

HSBC said Nor-Sea will use some of the funding to extend its factory in Fraserburgh to provide improved storage of chilled products plus an enlarged dispatch area.