Greggs set to axe 740 jobs in factory closures

Greggs has revealed plans to axe hundreds of jobs in factory closures.

The high street baker is set to shut four manufacturing bases in a move set to hit 740 posts.

Bosses say the proposed changes will see manufacturing sites in Enfield, Greater London; North Lakes, near Penrith; Pettigrews, in Kelso; and Seaham, County Durham, shut over a two-and-a-half-year period.

The Newcastle-headquartered sausage roll and pasty maker says it will shortly start a consultation process with affected workers and union representatives, but stressed “no final decisions have been made”.

According to its blueprint – which officials say will cost the firm around £60 million, including disruption costs and redundancy payments – Greggs will continue to run distribution operations from Enfield.

A production site at Treforest, in Wales, will operate as a distribution hub, with Clydesmill Glasgow and Manchester locations reducing product ranges and a base in Gosforth, in Newcastle, stopping the baking of tinned bread.

Retail shops will not be affected by the changes, with Greggs saying the plans will save around £20 million across the 2028 and 2029 financial years.

Greggs employs around 33,000 people across the UK, with the vast majority in stores.

Chief executive Roisin Currie said: “To continue building a successful business for the future, we must keep evolving alongside changing customer expectations.

“We want to ensure Greggs remains a strong, sustainable business for decades to come.

“Greggs’ manufacturing and logistics network remains a key strength of the business, and these proposals are intended to strengthen our manufacturing network, improve efficiency and ensure we remain well placed for the future while continuing to deliver the quality, value and service our customers expect.”

The news came as the business revealed sales grew by 7.7 per cent in the three months to September 26, compared with the same period a year earlier.

Trading improved across the quarter as Greggs benefited from product launches and “more settled weather” in August and September.

It said this represented progress in the face of “challenging market conditions”, as consumer finances continue to come under pressure.

However, bosses warned there are “signs of greater inflationary pressures in 2027” as higher energy costs feed through.

Want your business, product or service to be seen regionally and nationally? Bdaily helps you get your story in front of the right audience, every day. Find out how Bdaily can help →

Join more than 55,000 subscribers by signing up to our daily bulletin each morning here.