Workers at British Sugar's factories are set to vote on strike action as tensions grow over a "not so sweet" wage dispute.

The Unite union said its 500 members at British Sugar's four factories in Norfolk, Suffolk and Nottinghamshire had overwhelmingly rejected the company's offer of a 2pc pay increase.

In a consultative ballot, 86pc of technicians, engineers and supply chain operatives voted against the offer.

The result has sparked the launch of a ballot for potential strike action at the factories in Cantley, near Acle, Wissington in west Norfolk, Bury St Edmunds in Suffolk, and Newark in Nottinghamshire.

The union said its members are angry that the company "pledged to implement a reasonable pay rise" when it returned to profitability following their acceptance of a "paltry" 1pc increase in 2019, during a difficult financial year.

But while British Sugar's financial statements show pre-tax profits of almost £55m in the year to August 2020, and total pay for all company directors rising by £600,000 to £2.6m - the union claims the 2pc offer for all its 500 members would cost just £500,000.

British Sugar said it is "disappointed" by the talk of strike action - but confident an agreement will be reached in the coming weeks.

Unite regional officer Mark Plumb said: “Our members feelings are running high and coordinated strikes at every one of British Sugar’s processing factories during the UK’s sugar beet harvest could cause real problems for the company’s operations and across its supply chain.

“British Sugar is operating at a profit and can clearly afford massive pay rises for top staff. This dispute can be resolved quickly and amicably if British Sugar improves on its not-so-sweet pay offer."

A British Sugar spokesman said its directors also received a 2pc salary increase last year, but their total package "includes performance driven incentives which do vary year on year.”

“The implication that we have walked away from the table is not true – we remain in active negotiations," they said.

"We are therefore disappointed that the union is talking about strike action and we are confident we will reach an agreement that works for all in the coming weeks."

The planned ballot for strike action opens on July 5 and closes on July 26.