Thomas Tunnock Commissions Fourth Manufacturing Plant

Thomas Tunnock Commissions Fourth Manufacturing Plant

Thomas Tunnock has commissioned a fourth teacake manufacturing plant to meet growing demand for its products as underlying profits at the business grew 14.5 per cent to £7.1m on sales of £53 million.

In addition to the new plant, further investment has also been made at the biscuit maker’s Uddingston base, with planning permission granted for a factory extension to meet growing demand.

The results to the year ending February 29 cover the period, in January this year, when Tunnock became embroiled in controversy when it ran a campaign in England calling itself the Great British Teacake to reflect the success of the Great British Bake Off television programme.

The move was criticised by Scottish nationalists who called for a boycott of the products.

This received short shrift from Boyd Tunnock, the octogenarian head of the firm, who noted: We could have said Scottish but you’re then promoting Scotland. We’re British.

The family-owned business – which produces caramel wafers and snowballs in addition to its teacakes said the sales boost reflected steady growth in our markets.

In accounts newly filed at Companies House, it was revealed that underlying profits were up in spite of a 0.5 per cent reduction in pre-tax profits relating to a £1m exceptional gain booked last year.

Sales per employee fell to £104,000 from £108,000.

Thomas Tunnock sales in the UK grew two per cent to £44m while the company’s export sales returned to growth.

Overseas sales saw a 12.5 per cent uplift to £9m, returning to the level enjoyed in 2014.

Thomas Tunnock exports to more than 30 countries, and is noted for its popularity in the Middle East. It also enjoys a strong following in North America and Australia, and has more recently been pushed into European markets.

In a statement, the company said: Following continued investment, a fourth teacake manufacturing plant has just been commissioned and with planning permission recently received for a factory extension, the company continues to invest in the local community and beyond.


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