Arla Foods is set to cease operations at one of its UK creameries after it failed to find a suitable buyer for the site.

The dairy major announced its plans to close down the Melton Mowbray creamery, known locally as Tuxford and Tebbutt, last week.

The plant in Leicestershire in England’s East Midlands employs around 60 people, according to Arla, and produces Stilton cheese.

It said in a statement on 25 June: “This morning, we have spoken to our colleagues who are affected by these proposals and we are now entering into a period of consultation with those colleagues. Our priority right now is to support our colleagues impacted during this challenging period.”

The company had put the Melton Mowbray site up for sale in January but failed to find a suitor.

According to Arla, the Melton Mowbray site is one of six creameries in the world permitted to make Blue Stilton.

The company has eight dairy sites in the UK, including Taw Valley Creamery in Devon, Trevarrian in Cornwall, and Stourton Creamery in Yorkshire.

Last month, Arla said it would up investment in the UK and the spending would take the company’s total investment there in 2024 to more than £300m ($377m).

On the day of the UK Farm to Fork Summit (13 May) convened by the UK government to discuss the country’s food security, the Lurpak owner said it had lined up “tens of millions” of pounds of investment in its local factories.

The co-op plans to invest in its dairies and creameries at Lockerbie, Stourton, Aylesbury and Westbury.

The business’ Stourton facility will get £65m to increase its capacity for extended shelf-life milk and producing milk in cartons.