Burberry Leeds factory plans delayed in cost-cutting drive
Burberry is firmly in cost-cutting mode and has scrapped plans to revive the Temple Works mill in Leeds, saying it would be too expensive and time consuming. The luxury firm has also delayed a decision about building a new factory on a neighbouring site.
The firm has informed the local council that it won’t be taking up its option to redevelop the historic building.
Burberry had announced plans for the redevelopment and the new factory late in 2015 when it unveiled Project Artisan that would have unified textile and raincoat production in one area.
It said at the time that pulling production from two separate sites in Northern England to the unified location would allow it to potentially triple UK production.
Christopher Bailey, who was CEO at the time, had said the move of its 800 staff to the new site would also be more efficient and would mean the potential creation of an extra 200 jobs.
Now the company believes that revamping its existing factories in Castleford and Keighley could be the way forward.
Developing the site next to Temple Mill is still an option but the company appears to be in no hurry to make up its mind as it focuses on controlling costs and driving up retail sales.
However, the company remains committed to the local area with around 300 roles soon to move to Leeds from its London HQ.
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