High street bakery brand Greggs has announced plans to shut four of its factories and cut 740 jobs.
It plans to close manufacturing sites at North Lakes near Penrith, Cumbria, Pettigrews in Kelso, Scotland, Seaham in County Durham and Enfield, Greater London, though distribution operations would continue to run from the latter.
The proposals will also impact manufacturing operations at its Treforest site in Wales, but this will also continue as a distribution centre for the business.
The chain, which has headquarters in Newcastle, said its retail shops would not be affected by the proposed changes and like-for-like sales had grown across its managed stores.
It said the plans would save it about £20m across the 2028 and 2029 financial years.
The changes would take place over the next two and a half years, with parts of Greggs’ manufacturing processes relocating, the firm said.
The range of products manufactured at its Clydesmill Glasgow and Manchester locations would be reduced and production of tinned bread at Gosforth would be stopped.
Some products would also be sourced from specialist suppliers.
The general secretary of the Bakers, Food and Allied Workers Union (BFAWU) Sarah Woolley said the union was “deeply concerned” about the announcement.
She said: “Our immediate priority is our members, their jobs, their families and the communities that could be affected by these proposals.”
She added Greggs was clear in its own announcement the business continued to “perform strongly”.
