Job losses at the Oxfordshire office of hi-tech firm RM have stopped, top bosses have revealed.

The educational software company based at Milton Park, near Didcot, had made redundancies in the “low double digits” after the Government cancelled the Building Schools for the Future (BSF) programme.

But director of corporate affairs Phil Hemmings said the situation was now stable after the company reported a third successive year of record revenue and profit.

Mr Hemmings added: “The redundancies were in particular areas after certain opportunities such as BSF were no longer open to us.

“That is now done with and broadly we are now looking to grow the business. In 12 months time we would expect employment to be pushing upwards.”

RM remains one of the county’s biggest private sector employers with 1200 staff, a figure which has remained the same for the last three years after the company recruited in other areas.

Mr Hemmings said the company had compensated for the loss of BSF by continuing to develop relationships with individual schools.

The business made an unadjusted pre-tax profit of £23.9m for the year to September 30 compared to £16.3m for the previous year,while revenue grew by ten per cent to £380.1m.

Chief executive Terry Sweeney said: “Our successful diversification strategy has allowed the group to achieve this excellent outcome, which demonstrates the underlying resilience of our business.

“Looking ahead, clearly the UK public sector is in a period of significant funding and policy change. However, the overall funding environment for schools is better than many anticipated and shows modest real-terms growth over the next four years.”