Muller plans up to 90 redundancies at Skelmersdale site

Major milk processor Muller has confirmed plans to move fresh milk and cream production away from its Skelmersdale site in Lancashire and turn it into a facility for milk drying and producing dairy ingredients.

A logistics hub will also be built on site, to aid daily milk collection from local farms, with capacity for potentially up to 65 milk tankers.

Muller will carry out a consultation with staff at the site, which may result in up to 90 redundancies.

However, a number of new roles will also be created once the new facility is operational.

See also: RABDF warns of further producers leaving dairy sector

The Skelmersdale site was obtained by Muller when it acquired Yew Tree Dairy in 2024.

Farmers who had previously supplied Yew Tree Dairy were offered new direct contracts by Muller last year.

Dairy producers supplying Skelmersdale currently receive either a Muller ingredients price or a Muller direct Skelmersdale price.

However, it is unclear whether future alterations to the contracts will be required to take into account the change in on-site production.

Rob Hutchison, Muller chief executive, said: “We’re investing in a flagship facility that will set new standards for milk drying, dairy ingredients products and logistics, creating a bright future for Muller Skelmersdale.

“Our investment will lead to better service and quality for our customers at home and abroad and new opportunities for local people.

“Change is never easy, and consultations can be unsettling.

“We take this process seriously and will carefully consider every option before making decisions.”