Warburtons is set to acquire the former Rathbones bakery in the UK, a move that marks a significant step in its investment strategy exceeding £100 million ($135.1 million). This acquisition highlights Warburtons’ commitment to growth within the food and beverage industry.
The bakery group has reached an agreement with Myton Food Group, the manufacturing division of retailer Morrisons, to purchase the land, buildings, and machinery of the shuttered Wakefield site in northern England. This facility will represent Warburtons’ 13th bakery.
The acquisition follows the closure of the loss-making Rathbones plant in January, implemented as part of Morrisons’ restructuring initiative. The Rathbones facility had been under scrutiny since late 2024.
Warburtons, known for its Toastie bread, bagels, and crumpets, plans to reactivate this plant for the production of branded items. The exact purchasing price for the site has not been disclosed. Jonathan Warburton, chairman of the group, stated: “We are extremely pleased to have agreed a deal on the former Rathbones site and look forward to welcoming new colleagues to the business very soon.”
Expected to create over 40 jobs in manufacturing, warehousing, and distribution, the Wakefield plant is slated to become operational in September. Alongside this acquisition, Warburtons is also expanding its gluten-free bakery in Newburn and establishing a new distribution center in Biggleswade.
Additionally, the company is enhancing its production capacity by installing three new lines: a pancake line in Bolton and two crumpet lines in Burnley. The redevelopment of the Newburn facility is projected to be completed this autumn.
Warburtons stated that these new lines will foster product innovation and enable the company to meet the increasing consumer demand within the food and drink business. This program follows Warburtons’ prior acquisition of the former Roberts Bakery site in Ilkeston.
This latest deal comes amid a broader trend of consolidation in the UK bakery sector. Recently, the UK’s competition authority provisionally approved Associated British Foods’ acquisition of its rival Hovis. In October, Roberts Bakery in Northwich was rescued by Ranjit Singh Boparan’s private-investment company, indicative of ongoing shifts in food and drink consumer trends throughout the industry.
As Warburtons continues to invest and expand, it remains well-positioned to adapt to the evolving landscape of the food and beverage industry, ensuring that it meets the diverse needs of consumers across the sector.
