Fords Bakery in Prestonpans has been placed into liquidation, with 35 staff made redundant, and around 25 set to move to its parent company.
The bakery had gone into administration last summer and was sold to Scullions Wholesale Bakery, a subsidiary of the McGhee Group, in the hope that it could reverse the bakery’s trading losses and make it profitable, liquidator Tom Hughes, partner at Gerber Landa & Gee chartered accountants told British Baker.
“However, as the year went on, that became very difficult. Cut-backs to staff were made to try and address the issue, but it was still making serious losses, so there was no alternative but to close the business,” he said. The firm was placed into liquidation on Sunday 20 March, with the liquidator looking to make an asset sale only.
A spokesperson for Scullions said: “Despite considerable efforts, the business continued to show trading losses. It was therefore concluded that the current operation was no longer viable.
“While this will result in a number of job losses, around 25 positions will be saved, with those personnel redeployed within the restructured Fords Bakery business, as part of the McGhee’s Bakery Group.”
Hughes confirmed that investigations were being made into any monies owed to creditors, with a creditors meeting scheduled for next Friday (1 April).