Bread rolls in basket

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Welsh bread and morning goods manufacturer Garth Bakery has closed with the loss of all 98 jobs.

Based in Abercynon, South Wales, the business ceased trading last week, with 89 of its 98 staff made redundant. Administrators were appointed and the nine remaining office staff and directors were made redundant two days later.

Joint administrator David Kemp of SFP Group is investigating the causes of the business closure.

“While our review is still in its infancy, we understand that a variety of pressures, including general prices rises, have contributed to the closure.”

Buyers are now being sought for company assets including vehicles and plant machinery, and the administrators have arranged for perishable stock to be donated to local shelters and animal charities.

Kemp added that it was saddening to see such a long-established and important local business close.

Garth Bakery was founded in 1983, taking its name from the Garth Industrial Estate where it rented its first premises. Originally employing six staff, the company expanded quickly and in 1986 moved to a purpose-built factory on Pontcynon Industrial Estate, Abercynon. The factory was extended twice as demand grew.

With a focus on crusty bread rolls and morning goods, the business has supplied schools across South Wales and retailers including Asda, Tesco and Co-op, operating more than 20 delivery vehicles.

According to the Garth Bakery website, it produced 300,000 bread rolls a week.

The administrators said there had already been some interest in Garth Bakery assets, and that they would look to support employees and assist with claims for outstanding entitlements.

“Statutory reports will be circulated to creditors providing further information in due course,” added SFP Group.

The closure comes just over a month after North Yorkshire pork pie specialist Vale of Mowbray collapsed into administration with the loss of 171 jobs.