STAFF members of a bakery chain have been left devastated as all but two locations were shut with immediate effect.
One manager said she was “emotionally drained” by news of the closures.
Butterwick Bakery is closing all but two of its 14 branches[/caption]
Staff members have now spoken out about the news[/caption]
Butterwick Bakery was founded by couple Fiona and Ryan Scarborough.
The couple announced the sudden closure of nearly all of their stores on social media.
Only the stores at Rushden Lakes retail park and Northampton’s St Giles Street are to remain open.
Members of staff at the affected branches have now spoken out about the news.
Chloe Morrison, 28, manager of two Market Harborough Butterwick branches, shared staff were “shocked” by the news.
She told the BBC: “It was very emotionally draining, and I was just so shocked and quite taken aback by it.
“I never thought that this would happen, I really believed in the in the Butterwick brand.”
A spokesperson for Business Recovery and Insolvency (“BRI”), said: “Where employees are made redundant due to the insolvent position of their employer, a Government department will step in and pay those employees what they are entitled to (subject to certain limits) following their employer entering into a formal insolvency process.
“We can confirm that amounts due for wage arrears, accrued holiday pay and redundancy, where appropriate, and statutory notice pay, owed to the former employees of the business, will be paid by the Redundancy Payments Service (“RPS”) and the claim process will be dealt with in accordance with the relevant legislation and official guidance.
“We are working very hard to agree a liquidation date and will be able to confirm this date to the former employees on Monday 29 September.
“We can confirm that following the business entering into liquidation, the employee claims will be dealt by the appointed liquidator as a priority, as is the case for all insolvency matters.
“We can also confirm that tips from each site have been secured and will be distributed to the former employees.
“Following the redundancy announcement, arrangements were immediately made for the former employees to collect their personal items from the 12 sites and this process is ongoing.
“Unfortunately, the former employees are not permitted to return to the premises on their own at this time due to strict insurance and health and safety requirements having to be adhered due as a result of the business ceasing to trade.
“All of the 62 employees impacted by the redundancies have been contacted by IPERA Services Limited (“IPERA”) and the redundancy process was clearly explained to them at the meeting that took place on Monday 22 September.
“Letters have also been sent to all explaining how to make their redundancy claim and they will be provided with an information pack, including all the details they require to make a claim.
“Staff have been informed to contact IPERA if they have any queries or need any support. IPERA has been instructed to provide continued support to staff, including hands-on assistance with their claims.”
The business had stores in Retford, Milton Keynes and Rugby, as well as across Leicestershire and Northamptonshire.
Chloe Morrison said staff were informed about the closures in an email received on Monday.
Retford branch manager Charlotte Bake revealed she would receive support from her family and is in touch with a food bank.
Bassetlaw MP Jo White said she was “deeply concerned” upon hearing of the Retford bakery being closed down.
In a statement, co-founders Fiona and Ryan Scarborough outlined the reasons behind the closures.
They said: “It is with deep regret that we announce the closure of all Butterwick stores with immediate effect, apart from our Rushden Lakes and Northampton St Giles locations.
“This decision has not been made lightly.
“Despite tireless efforts to secure all stores and protect every role, the continued rise in operating costs and significant changes in customer spending habits have left us unable to sustain the business in its current form.”
The couple added: “This is not the end of Butterwick – it’s the beginning of an exciting new chapter.
“By focusing on Rushden and Northampton, we will be returning to our roots: an authentic in-store bakery experience where craft, freshness, and creativity come first.
“We’ll be bringing back some of our most loved original products, creating lots of new ones, and giving our menus a big upgrade – from handcrafted drinks to freshly-made sandwiches.”
