Greggs to close Enfield factory and cut 740 jobs
The bakery chain plans to shut four manufacturing sites over the next two-and-a-half years, costing £60m.
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High street bakery Greggs has announced plans to close four of its manufacturing sites and cut 740 jobs. The affected sites include North Lakes near Penrith, Pettigrews in Kelso, Seaham in County Durham, and Enfield in Greater London. Distribution operations are set to continue at the Enfield location.
The proposed changes will also impact manufacturing at the Treforest site in Wales, although this will remain operational as a distribution centre. Greggs stated that its retail shops will not be affected by these proposals. The company employs 33,000 people across the UK, with most working in its stores.
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Timeline and Costs of Proposed Changes
The proposed changes are scheduled to take place over the next two-and-a-half years. As part of the shake-up, parts of Greggs' manufacturing processes will be relocated. The firm indicated that production of some items, such as tinned bread at Gosforth, will cease, and other products may be sourced from specialist suppliers.
The overall shake-up is anticipated to cost Greggs approximately £60m. This figure includes anticipated disruption costs and redundancy payments for affected staff. The company projects that these plans will lead to savings of about £20m across the 2028 and 2029 financial years.
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Greggs chief executive Roisin Currie stated that the company needs to "keep evolving alongside changing customer expectations." She added that the proposals are intended to strengthen the manufacturing network, improve efficiency, and ensure the business remains well-placed for the future while maintaining its standards of quality, value, and service.
A consultation process with staff is expected to begin shortly. The company has stated that "no final decisions" have been made at this stage regarding the proposed closures and job cuts.
Questions this report answers
+Which Greggs factories are planned for closure?
Greggs plans to close four manufacturing sites: North Lakes near Penrith, Pettigrews in Kelso, Seaham in County Durham, and Enfield in Greater London. Distribution operations will continue at the Enfield site.
+How many jobs will be affected by these changes?
The proposed changes are expected to result in the loss of 740 jobs. The company has indicated that a consultation process with staff is expected to begin soon.
+What is the estimated cost of these plans?
The shake-up is expected to cost Greggs approximately £60m, which includes disruption costs and redundancy payments. The company anticipates saving about £20m across the 2028 and 2029 financial years.
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