Nestle to shut down Newcastle factory

Nestle is set to shut down its Newcastle factory and will shift its production to EU, reports stated on Wednesday (2).

The global food manufacturer said it was holding talks with employees at the Fawdon plant but the focus was now on closing it in 2023.

A spokeswoman said the majority of production currently in the North East would move to Halifax, West Yorkshire.

Fawdon has been producing confectionery since 1958. According to reports, under Nestlé’s proposals, Fruit Pastilles and Jelly Tots will be made in the Czech Republic and Toffee Crisp bars will be made in Poland, while mini egg versions of brands such as Kit Kat and Milkybar will be made in Bulgaria.

In recent years the factory has made other popular brands like Rolos, Munchies and Matchmakers.

“From the outset we wanted to provide adequate time and space for these discussions and it is only right that they are held directly with our employees and trade unions and not in public,” reports quoted Nestle’s public statement.

“It remains a priority to support our people and their families through this process and we thank everybody for their patience.”

Meanwhile, trade unions have been calling on the confectionery giant over the move saying this will have a “devastating impact” on workers and their families”.  The closure is expected to come with the loss of 474 jobs.

“Meanwhile, transporting finished products from sites in Europe back to the UK – where they are consumed – will result in significant additional road and sea miles, increasing pollution and environmental damage,” GMB trade union said.

“GMB and Unite will now speak to members in Fawdon and find out what they want to do next. We will give them whatever support and resources they need to fight this.”

Nestle employs more than 8,000 people in the UK and Ireland across 18 sites, including 14 factories.