Warburtons announces £56m investment amid demand for crumpets and bagels

UK bakery company Warburtons has announced a total investment of £56 million to enhance its manufacturing capabilities and distribution network.

Warburtons says increasing its capabilities will ensure it can meet growing consumer demand for non-bread bakery products, particularly the rise in popularity of crumpets and bagels.

By maximising its distribution network, Warburtons aims to fulfil its strategic partnerships – allowing it to deliver 2 million products within 12 hours to stores to ensure optimal freshness.

The investment programme will see £28 million go towards the development of three new distribution depots in Widnes, Bognor Regis and Banbury, creating 150 jobs. These will replace Warburtons’ three existing sites in Speke, Waterlooville and Buckingham.

The project is also made up of a new £18 million thin bagels line at its Stockton bakery site, which was announced previously in March and will be operational in June 2022. Meanwhile, £8 million will be invested into a new crumpet line at its Burnley bakery, which will be operational in October 2021.

Remaining funds will go towards an infrastructure investment including the introduction of new electric vehicles to improve the company’s environmental credentials and significantly upgrading the technology used across its entire distribution network nationwide.

Jonathan Warburton, chairman of Warburtons, said: “Consumer tastes are changing, and we work hard to make sure we are providing a range of products to meet consumer demand, this investment programme will allow us to better respond to these tastes for non-bread baked goods, and meet the growing demand for crumpets and bread alternatives such as thin bagels.

“We also bake 24/7, 364 days a year and pride ourselves on a running a world class distribution network and our sites are situated across the country to enable us to bake and deliver fresh to over 19,000 stores each day. The investment in three new depots will have a critical role in ensuring we can further support our customers and get bakery to store as fresh as possible each day.”

Over the past decade, Warburtons has invested over £400 million in the aforementioned sites. The company has a network of 11 bakeries and 18 depots across the UK.