Complex sentence: The first moves towards manufactories called mills were made in the spinning sector, and until the 1820s cotton, wool and worsted was spun in mills, and this yarn went to outworking weavers who continued to work in their own homes.
Split into simpler sentences: The first moves towards manufactories called mills were made in the spinning sector. By the 1820s, all cotton, wool and worsted was spun in mills; but this yarn went to outworking weavers who continued to work in their own homes.