Government business department shuts largest non-London office

George Osborne's 'northern powerhouse' policy questioned as branch closure in Sheffield casts doubt on chancellor's pledge to revitalise English cities

The Department for Business, Innovation and Skills (BIS) is to close its largest office outside London, prompting accusations that the chancellor's "northern powerhouse" project was empty rhetoric.

Plans to close the BIS office in Sheffield by 2018 were announced on Thursday by the department's permanent secretary, Martin Donnelly, who told the centre's 240 staff that all those faced with job losses would be provided with "comprehensive support".