Greggs to close four factories and cut 740 jobs in manufacturing shake-up

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.

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.

Chief executive Roisin Currie said the company needed to "keep evolving alongside changing customer expectations".

She 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 while continuing to deliver the quality, value and service our customers expect."

The firm employs 33,000 people in the UK, the majority working in its stores.

A consultation with staff is expected to start soon and the company said "no final decisions" had been made yet.

The shake-up is expected to cost the firm about £60m, including disruption costs and redundancy payments.

It said the plans would save it about £20m across the 2028 and 2029 financial years.

The retail business said its sales grew by 7.7% in the three months to September 26, compared with the same period a year earlier.

It said this represented progress in the face of "challenging market conditions", as consumer finances continued to come under pressure.

The company said positive trading and continued cost control meant it expected a "modestly improved outcome" for 2026.

Greggs opened 95 new shops and closed 38 in the year to date, taking its overall estate to 2,796 shops.