Wed, 02 Mar 2016 | ADMINISTRATION
A plastic bag packaging firm has gone into administration, blaming the introduction of the 5p charge for plastic bags in England and ‘aggressive’ competition from overseas.
Nelson Packaging, based in Lancashire for more than 30 years, has now ceased production at its factory and made 40 workers redundant. The distressed business has not said who will be appointed as the administrator.
Michael Flynn, managing director of Nelson Packaging, blamed “the English bag legislation and corresponding impact on customer and retailer demand”, but also cited “aggressive overseas competition” as another factor in the firm’s demise.
The 5p charge for plastic bags in supermarkets and other retailers was introduced in England in October 2015, and has since seen a significant drop in their use. For example, Tesco said that it has seen 30 million fewer bags being used each week — a reduction of around 80 per cent. The legislation had already been introduced in Wales, Northern Ireland and Scotland, each resulting in a similar reduction in plastic bag use.
The packaging company had been producing carrier bags and other recycled materials using water-based ink since 1975. Three years ago, it was taken over by Cheshire-based rival Intelipac.
View the latest UK businesses in administration.
Long established community pharmacy. First time on the market in 30 years. Now occupying exemplary new purpose built accommodation. Standard hours. Offers invited.
LEASEHOLD
Works closely with clients to produce interior design solutions for educational institutions, which could be marketed to more sectors.Additionally offers an array of creative media, including videos,presentations, websites, branding and full direct m...
RELOCATABLE
Unopposed health centre pharmacy. Semi-rural location. In receipt of Pharmacy Access Scheme payments. Offers invited.
LEASEHOLD
|
23
|
|
Jan
|
MBO at Bristol-based media training firm | MBO/MBI
Mentor Media Training has been acquired by lead consultant D...
|
22
|
|
Jan
|
Chelmsford warehouse management firm bought by software provider | BUSINESS SALE
Chelmsford-based warehouse management solutions provider Min...
|
21
|
|
Jan
|
MBO at Newcastle market research company | MBO/MBI
Newcastle-based market research company Explain Market Resea...
Sign up to receive our acquisition alert emails to get your FREE guide
Business Sale Report is your complete solution to finding great acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources