Greggs has announced a major restructuring of its UK manufacturing operations, a move that puts approximately 740 jobs at risk and involves the closure of four production facilities. The announcement, made this morning, signals a significant shift in the bakery chain’s supply chain strategy, which will take place over the next two and a half years.
The restructuring plan includes the closure of manufacturing sites in Enfield, North Lakes, Pettigrews in Scotland, and Seaham in County Durham. Among the facilities affected by the sweeping changes is the Treforest site in Rhondda Cynon Taf. While the company has confirmed that manufacturing operations at the Treforest factory are set to cease, it intends to retain the site as a distribution centre. At this stage, Greggs has yet to confirm the specific impact on the workforce at the Welsh site.
In addition to the closures, the company plans to scale back the range of products manufactured at its sites in Clydesmill, Glasgow, and Manchester. Furthermore, production of tinned bread will be discontinued at its Gosforth location. As part of this consolidation, Greggs revealed it intends to source a small number of specific products from specialist third-party suppliers.
The bakery chain, which employs approximately 33,000 staff nationwide, was quick to clarify that its retail shops will remain unaffected by the industrial shake-up. The firm is set to enter a formal consultation process with affected workers and union representatives, emphasizing that “no final decisions have been made” regarding the potential redundancies.
Chief Executive Roisin Currie defended the decision as a necessary step to future-proof the company. “To continue building a successful business for the future we must keep evolving alongside changing customer expectations,” Currie said. “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.”
The restructuring is expected to come with a hefty price tag, with the firm budgeting approximately £60 million to cover redundancy payments and operational disruption. However, the company projects that the move will generate annual savings of around £20 million by the 2028 and 2029 financial years.
The proposed changes represent a pivotal moment for the high street staple as it seeks to streamline its supply chain. For the 740 employees facing uncertainty, the coming weeks of consultation will be critical as the company attempts to balance its long-term financial sustainability against its existing manufacturing footprint. Greggs maintains that these measures are essential to ensure the brand remains a “strong, sustainable business for decades to come.”
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