Allied Bakeries, the UK bread arm of Associated British Foods, will end production at its Gateshead site, leaving at least 119 jobs at risk.

The company said “excess capacity” at the plant was the reason why it will end production at the facility next February. 

The site currently employs 263 people, with 119 workers facing potential redundancies. Allied Bakeries distribution and transport depot operations based at the Gateshead site are unaffected.

Allied Bakeries regional general manager Pat Love said: “The potential closure of manufacturing at Gateshead has been an extremely tough decision and in no way reflects the commitment and efforts of all those who are currently working there.”

“Our announcement is in response to the highly competitive nature of the market we operate in, the level of investment needed to bring the site to an acceptable standard, the need to strengthen our overall capabilities and our ability to respond to change in the future.”

The company’s said its focus is now working with the staff who will be affected by the proposal. Allied Bakeries is liaising with the local job centre and providing training and working with other local employers to help the affected staff fine alternative employment.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

The Gateshead facility makes a range of sliced bread products.