Following Brexit, Mackintosh is shutting down its plant in Nelson, Lancashire. The decision stems from significant operational challenges.
- The brand cites difficulties imposed by recent regulatory changes and heightened logistical hurdles as key factors.
- Rising costs have also contributed to making the Lancashire operation unsustainable for Mackintosh.
- The heritage brand will transfer production to its European suppliers, while its Scottish facility remains open.
- Affected employees will receive support, including severance, career counselling, and job placement assistance.
Mackintosh, renowned for its heritage in outerwear, has announced the closure of its manufacturing facility in Nelson, Lancashire. This decision is attributed to the “increasingly challenging conditions” encountered post-Brexit. The regulatory environment, coupled with logistical complexities and rising operational costs, have significantly hampered the viability of its UK manufacturing operations.
Brexit has introduced a new set of regulatory requirements that have disrupted the established operational framework for businesses like Mackintosh in the United Kingdom. The brand has described the situation as ‘untenable,’ necessitating the closure of its UK facility and the shift of production to various European suppliers.
Despite the closure in Lancashire, Mackintosh will continue its manufacturing activities at its facility in Coatbridge, Scotland. This move aims to ensure the long-term sustainability and growth of the company by consolidating its production efforts.
The closure will unfold in a phased manner, offering support to the 60 workers affected. Mackintosh is committed to assisting these employees through severance packages, career counselling, and job placement programmes.
Yozo Yagi, Mackintosh CEO, expressed profound regret over the decision, highlighting the critical role the UK plant has played in the company’s operations. ‘We are deeply saddened to make this announcement,’ he stated, adding that insurmountable challenges post-Brexit have compelled this step. Yagi acknowledged the dedication of the UK employees and extended gratitude to the local community and partners for their support.
The closure of the Lancashire factory marks a significant shift in Mackintosh’s manufacturing strategy, driven by post-Brexit challenges.