Rising costs and falling footfall have forced Corby-based bakery chain Butterwick to close 12 of its 14 retail shops across the Midlands.
Directors and co-founders Ryan and Fiona Scarborough announced the move in a statement posted to the brand’s Facebook and Instagram accounts, noting that only their sites at Rushden Lakes retail park and St Giles Street in Northampton would remain open.
Business recovery and insolvency firm BRI has been instructed to assist with the closures and place the company, Butterwick Bakes Ltd, into creditors’ voluntary liquidation. It confirmed that approximately 62 Butterwick employees have been made redundant and are currently being supported by IPERA Services Limited.
“A date for the liquidation has not yet been proposed but it is estimated to be around mid to late October 2025,” added a BRI spokesperson.
The Scarboroughs said the decision to close the majority of the Butterwick estate had not been made lightly. “Despite tireless efforts to secure all stores and protect every role, the continued rise in operating costs and significant changes in customer spending habits have left us unable to sustain the business in its current form,” they wrote.
Among the locations being closed are Butterwick’s original store on Rockingham Road in Corby which was opened in September 2019, two years after the couple established the brand as a bespoke wedding cake specialist from their kitchen table.
It grew to operate another shop in the Northants town as well as on high streets in Kettering, Melton Mowbray, Market Harborough, Oakham, Rugby, and most recently Retford. It also had outlets at Leicester’s Highcross, Milton Keynes’ Midsummer Place, and Northampton’s Weston Favell shopping centres plus one at Market Harborough train station. These were supplied from a central production site in Corby.
A LinkedIn post from Ryan Scarborough two months ago showed a photo of a Butterwick Franchise Operations Manual, as he looked to further expand the brand via franchise agreements.
Most recent unaudited results filed to Companies House for the year ended 28 February 2025 reported that Butterwick employed a total workforce of 80, up from 74 the prior period. Debts owed to bank loans, trade creditors, taxes and others increased 60% year-on-year to more than £516k while debtors amounts added up to a little over £97k.
“We are heartbroken for the impact this has on our incredible team members, who have worked with such passion and dedication to deliver the warm, welcoming Butterwick experience that so many of you have come to love. We are immensely proud of every one of them and deeply grateful for their commitment,” commented the co-founders.
However, they asserted that it was not the end of Butterwick but rather the beginning of an exciting next chapter. “By focusing on Rushden and Northampton, we will be returning to our roots: an authentic in-store bakery experience where craft, freshness, and creativity come first,” added the Scarboroughs.
Menus at the two remaining stores are to be given a “big upgrade” with new items and returning “most loved original products” including freshly made sandwiches. “Our goal is to deliver the very best of Butterwick: indulgent, high-quality treats and a coffeehouse experience our communities can be proud of,” the co-founders said.
All existing celebration and wedding cake orders are to be honoured, with alternative arrangements to be made for customers of closed stores. All loyalty points and gift cards will also be valid and fully redeemable at Butterwick’s remaining stores.
British Baker reached out to Butterwick for additional comments.
Financial challenges have caused several craft bakery businesses to fall into liquidation and close their retail estates this year, including Baltic Bakehouse in Liverpool, The Almond Thief in Devon, The Crusty Cob in Devon and Somerset, Grange Bakery in Cumbria, and Oddie’s in Lancashire.
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