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UK's oldest sugar factory at risk of closure with more than 100 jobs threatened

British Sugar proposes closing historic Cantley factory, risking 100+ jobs and shaking Norfolk's farming industry.

Business

UK's oldest sugar factory at risk of closure with more than 100 jobs threatened

The first sugar-processing factory to open in the UK, which has stood on the banks of the Norfolk Broads for more than a century, could close its doors for good. British Sugar has announced plans to shut its Cantley facility from the end of February 2027, putting more than 100 jobs at risk.

The company said the proposal, which would concentrate its beet processing operations at factories in Wissington, Bury St Edmunds and Newark, was taken to “improve efficiency and support the long-term future” of the UK sugar industry.

British Sugar proposes closing historic Cantley factory, risking 100+ jobs and shaking Norfolk's farming industry.

Keith Packer, British Sugar’s managing director, said: “This proposal has not been taken lightly. It follows a thorough review of the business and reflects a combination of external pressures, including low average European sugar prices, high energy costs and a market-wide, long-term gradual decline in volumes over time.”

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The news has been described as “devastating” by Jerome Mayhew, the Conservative MP for Broadland and Fakenham, who said it could have wider cost implications for Norfolk farmers. The factory, which sits on the River Yare and opened in 1912, has been at the heart of local farming for generations.

“All the sugar beet that comes in comes from the farms around Norfolk, and that’s going to have a very significant impact on the wider farming community,” Mayhew said. He is calling for an urgent meeting with British Sugar, which he said told him the firm had been loss-making for the past three years as demand for sugar declines.

The closure could also mean higher haulage costs for farmers who will have to travel further to the next nearest processing facility, and Mayhew warned of a “wider economic hit” for secondary businesses that support the Cantley operation. British Sugar said it would begin consultations with the Unite union and employee representatives over the proposals.

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