Major £68 million investment planned for McVitie’s and Jacob’s UK manufacturing

Key investment plans totalling £68 million have been unveiled to boost McVitie’s and Godiva confectionery and snacks manufacturing facilities in the UK, writes Neill Barston.

According to parent group pladis, the cash injection into its sites will be largely focused on the North West of England, as the business moves to continue its notable market share in the region.

With high-performing brands including Jacob’s crackers and McVitie’s biscuits, the company believed that the additional capacity created by its investment would prove decisive to its operations.

It includes adding more automated lines to its manufacturing at a time when labour shortages have continued to persist across the sector. The investment will also feature updating factor infrastructures in-line with the advancements in digitally-controlled machinery.

Significantly, as pladis confirmed, the business is also targeting a sustainability benefit. Investments in its UK operations are expected to cut 876 tonnes of carbon emissions each year – the equivalent of removing approximately 440 cars off the road.

Confectionery Production met with the business at this year’s Sweets & Snacks Expo event (see our latest edition for more), with its latest performance figures showing that group total revenues increased 8% year-on-year to £2.8 billion, in spite of challenging wider economic backdrops in many locations around the world.

Confirmed investment
Among the projects confirmed so far, is a major improvement for its Stockport site, which is   home of the iconic McVitie’s Jaffa Cake. The company confirmed it  is investing £21 million to introduce a new chocolate moulding line.

Furthermore, Liverpool’s Aintree site, known for baking Jacob’s Cream Crackers, will benefit from a £33 million overhaul. This comprehensive refurbishment includes the installation of new ovens and infrastructure, ensuring the facility is fit for the future.

Meanwhile, In Carlisle, £2 million will be used to invest in the savoury assortments department, resulting in the bakery recruiting, onboarding and training 48 new colleagues. This historic site, the world’s oldest biscuit factory, has been in operation since 1831 and currently employs around 800 people.

In addition, the company noted that its investment comes as new research has shown that its  manufacturing operations generate almost £240 million for the regional economy each year.

An additional pot of £12 million has been allocated to support infrastructure across its UK sites which – alongside Stockport, Liverpool and Carlisle – include facilities in Halifax, Harlesden in North London and Leicester.

According to the business, work on its respective projects across its UK sites is due to be completed by the end of next year. The company’s British interests form part of the group, which was founded in 2016, combining its brands’ histories of more than a century of manufacturing, with the parent business now employing 16,000 people across 11 countries.

Mete Buyurgan, pladis’ UK & Ireland managing director, welcomed the overall package of investment: “Today’s announcement is an important milestone in renovating our sites and unlocking capacity for our growth story.

“We have a fantastic suite of much-loved brands, baked by dedicated colleagues, and we have a responsibility to continue to nurture these brands for customers and consumers across the world. The news of these investments we are sharing today will enable us to achieve this.”