08 May 2008

Work starts on new Greggs bakery in east Manchester

Work has started on a new £16 million bakery for Greggs, safeguarding over 300 jobs.

The construction of the 75,000 sq ft building on Parkhouse Street in Openshaw has been made possible through a joint initiative between Manchester City Council, New East Manchester and Greggs assisted by a £7 million grant from the Northwest Regional Development Agency (NWDA).

The relocation to the new site will also lead to the development of many higher skilled jobs within the new bakery and the expansion of employment within local shops.   

Ian Pegg, Managing Director of Greggs North West commented: "Greggs is hugely committed to the North West and the start of work at the new bakery is a milestone in our regional expansion strategy. We are delighted with the progress to date."

Eddie Smith, Chief Executive of New East Manchester said: "It's great to see this new facility start to take shape.  Greggs is a major local employer and this brand new building acts as a symbol of the company's commitment to the area. This is an excellent example of joined-up regeneration where the public and private sector work in partnership for the benefit of the local community."    

Damien Bourke, Policy and Partnerships Manager at the NWDA, said:  "The Agency's investment into this project will help to secure the future of Greggs in East Manchester, safeguarding over 300 jobs and helping to create new skilled jobs for the area. The new premises will also help to drive wider regeneration in east Manchester."

The building is due to be completed in September with a number of departments expected to be operating from the new site by Christmas.

For more information visit www.neweastmanchester.com.

Ends

For further information contact Roz Hughes/Michael Travers at New East Manchester on 0161 223 1155

Notes to editors

New East Manchester Ltd (NEM) is an Urban Regeneration Company - a partnership between Manchester City Council, English Partnerships and the Northwest Regional Development Agency (NWDA).  It is NEM's role to implement the Regeneration Framework, secure the required public and private funding, lead on specific major development projects as well as co-ordinate the range of regeneration and renewal initiatives in the area.

The existing Clayton bakery currently employs around 150 staff in manufacturing plus office and distribution staff to support the operation.  

Greggs is the UK's leading bakery retailer with over 1,000 shops nationwide. They serve approximately 4 million customers each week through the shops. Two thirds of the business is in shop made sandwiches and freshly baked savouries such as pies, pasties and sausage rolls. These lines are complimented by a range of sweet products and a wide range of bread and rolls.

The business has divisional and central bakeries around the country supplying the shops in their surrounding areas.
They have eight divisions throughout the UK from Greggs of Scotland, to Greggs South-East with branches down to the south coast of England and have recently expanded into continental Europe with the opening of six branches in Belgium. They do not operate any franchise branches.
The Northwest Regional Development Agency (NWDA) is responsible for the sustainable economic development and regeneration of England's Northwest and has five key priorities: business, skills and education, people and jobs, infrastructure and quality of life.  For further information visit www.nwda.co.uk or www.englandsnorthwest.com.