Aylesford Newsprint, the paper maker which fell into administration last month, costing more than 230 jobs, was making losses of more than £32 million in the years leading up to its closure.

The Larkfield-based company’s latest accounts show the firm suffered an £88 million negative swing in fortunes between 2012 and 2013, as an over supply of newsprint on the market put pressure on finances.

The business made a loss of more than £32 million in 2013, having made a profit of £56 million a year earlier.

However, those profits in 2012 were the result of a cash injection of £78m to the business, possibly after loans from its parent company were written off.

That same year, the company was sold by joint owners SCA and Mondi to US private equity firm Martland Holdings.

In real terms, the firm was making an operating loss of nearly £20m in 2012, which grew by another £12m a year later.

Former worker Kevin Fosberry, of Newton Close, Barming, said workers were led to believe the firm was going to survive.

In an interview inside this month’s Kent Business, free inside the Kent Messenger, he said: “They couldn’t stress it enough that we were having bad times but they gave us the impression we were safe.”

He revealed workers were told the company would become profitable when it took ownership of its power plant run by npower next year, allowing it to sell electicity back to the National Grid.

He also said workers were given a 2.4% pay rise just a month before it fell into administration.

Aylesford Newsprint was closed by administrators KPMG on February 24, immediately making 233 workers redundant.

Another 65 staff have remained with the business to help sell assets and decommission the plant.

The losses, decisions and digital revolution which brought down one of Kent’s oldest paper mills. Read this month’s Kent Business free inside most paid-for KM Group newspapers this week.