UK packaging factory set to close after 60 years – staff ‘in shock’ | UK | News
Staff at a UK packaging factory are “shocked and disappointed” by news the plant could be closing after 58 years. Leading global paper company DS Smith confirmed this week that a “proposal has been made” to cease operations at its packaging facility in Launceston, Cornwall. The firm said it had “consulted with approximately 167 employees” following a “review of its UK packaging operations” under “challenging trading conditions”.
Adrian Parsons, the Liberal Democrat member of Cornwall Council, told the BBC: “I am hearing shock and disappointment from staff; they are worried about losing their jobs and about the future.”
Ben Maguire, the Liberal Democrats’ MP for North Cornwall, also criticized the Labor Government’s “anti-business” approach to tax increases in the UK, warning that companies such as DS Smith were being “hammered”.
Mr Maguire said his inbox was “absolutely inundated” with business owners sounding the alarm about increases in National Insurance and the minimum wage, which, along with the rising cost of living, was a “perfect storm” for small and medium-sized businesses (SMEs).
The MP added that workers at the Launceston site would be “really worried and uncertain” and called on the Government to change its attitude towards Cornwall, which he argued had not received a “slice” of regional growth investment.
DS Smith previously laid off 70 staff at its base in Louth, Scotland, in 2024 and closed sites in Plymouth, Derbyshire, Newcastle, Sheerness and Wellingborough following consultations last year.
A spokesman said: “We have reviewed our UK packaging operations to improve efficiency across the business and ensure we are responding to the evolving needs of our customers amid challenging trading conditions for the industry.
“As a result of this investigation, we can confirm that a proposal has been made to close a site on our network. Consultation with employees is ongoing and DS Smith will not be commenting further.”
A Government spokesman said: “Whilst this is a commercial decision for DS Smith, we understand this will be a worrying time for workers and their families and support will be provided to those affected.
“The decisions we have made in the budget mean we can stabilize the economy and offer support to families and businesses.”
