Greggs to close 4 UK factories, 740 jobs at risk
Greggs, the popular UK bakery chain known for its sausage rolls and coffee, has announced plans to close four factories over the next two and a half years, putting about 740 jobs on the line.
The sites in Enfield, Penrith, Kelso, and Seaham are affected as Greggs looks to save £20 million a year by 2028 after initially costing £60 million when including disruption costs and redundancy payments.
Greggs sales up 7.7% despite costs
Even though sales jumped 7.7% last quarter and Greggs had 57 net new openings this year (hello, iced matcha lattes), rising costs are forcing tough choices.
The company says shutting these factories is needed to ensure it can grow in the most cost-efficient manner. They are working with unions to help staff through it.
Meanwhile, prices have gone up: think an extra 5p for sausage rolls and 10p for lattes, but investors seem happy: shares are up 17% this year.