'We must keep evolving': Greggs to shut four factories and cut 740 jobs
Greggs has said it plans to shut four factories with the loss of about 740 jobs as part of an overhaul of its food manufacturing operations.
The high street bakery chain said the proposed changes, which will take place over the next two-and-a-half years, will see it relocate parts of its manufacturing process.
It plans to close its manufacturing sites at Enfield Greater London, North Lakes near Penrith Cumbria, Pettigrews in Kelso, Scotland, and Seaham, County Durham. It will continue to run distribution operations from Enfield.
The proposals will also impact manufacturing operations at its Treforest site in Wales, but this will continue as a distribution centre for the business.
Greggs also said it will reduce the range of products manufactured at its Clydesmill Glasgow and Manchester locations, as well stopping the manufacturing of tinned bread at Gosforth.
It said this will consolidate its manufacturing operations, with the firm set to source a small number of products from specialist suppliers.
Greggs retail shops will not be affected by the changes. The shake-up will cost the firm around £60 million, including disruption costs and redundancy payments.
But it said the plans will save it around £20 million across the 2028 and 2029 financial years.
The firm said it will shortly start a consultation process with affected workers and their union representatives, but stressed that “no final decisions have been made”.
Greggs employs around 33,000 people across the UK, with the vast majority of these 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.”
It came as the retail business revealed that 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 face of “challenging market conditions”, as consumer finances continue to come under pressure.
The company said positive trading and continued cost control means it expects a “modestly improved outcome” for 2026.
Like-for-like sales grew by 3.4 per cent across its managed stores, with overall growth buoyed by the opening of new shops.
Greggs said it has opened 95 new shops and closed 38 in the year to date, taking its overall estate to 2,796 shops.