UK dairy co-op First Milk has announced plans to close its Campbeltown Creamery in Scotland, revealing talks over a possible deal for the facility had failed to find agreement.

First Milk said it had started consultation with staff over the closure of the site. Some 14 jobs are at risk.

In April 2018, First Milk said it would look to sell two creameries – one in Campbeltown and another on Arran. In July this year, the co-op said it had been unable to find a buyer for the Arran facility but that talks to sell the Campbeltown site to a group of its farmer-members on Kintyre were continuing.

“We are disappointed that it has not been possible to conclude a sale of Campbeltown Creamery,” First Milk chief executive Shelagh Hancock said today (1 November). “We fully appreciate that this decision has significant consequences for colleagues at the creamery and the local community, but it is important that we act in the best interest of the wider business and our farmer members and continue with the solid progress we have made in strengthening and developing First Milk. We regret the impact this decision will have on our colleagues and are committed to treating those affected fairly and with consideration during this difficult time.”

James Barbour, the chairman of the Kintyre steering group that had been looking to safeguard the future of the facility, added: “It was the right thing to investigate all avenues to see if we could keep the creamery open in Kintyre. There was widespread enthusiasm from the local farmers to try to secure the future of the site and genuine support from First Milk, the Scottish government and the local community, along with a successful crowd-funding campaign. Despite all of this we were not able to find a financially viable long-term solution for the creamery. I would like to thank everyone who has supported us through this period.”

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