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Birmingham Post
Birmingham Post
Business
Tom Pegden

Family-owned Pukka pies putting £5m into beefing up production despite inflation and supply chain fears

The UK’s biggest pie brand is putting another £5.1 million into boosting capacity at its Leicestershire home.

Pukka said it was the third year on the bounce that it was investing in the Syston bakery, a few miles north of Leicester.

The family-owned pie, pasties and sausage roll maker has put millions into its production line in recent years and been developing new vegan products to meet growing demand.

It wants an even bigger share of the market having seen annual sales grow almost 10 per cent to £58.1 million in the year to last May –with pre-tax profits up from £4.1 million to £5.85 million.

That growth came despite much of the food sector operating at reduced capacity during the period due to Covid.

In accounts just published on Companies House the business said it had been affected by raw material inflation towards the end of the financial year which it blamed on Brexit and supply chain disruption.

The accounts showed the business, which has 375 staff, claimed £221,000 in furlough money, much of it in mid-2020 when most of its food service customers paused operations because of lockdown.

Pukka chief executive Deborah Ewan said: “Despite another year of the impact of Covid-19 on our out of home division, the year to May 2021 saw us surpass some of our most exciting milestones yet.

“Alongside making and baking over 76 million pies for the people of Britain, our vegan pie recipes became star performers and scooped two Grocer New Product Awards.

“Meanwhile, installing state-of-the-art cooking vessels allowed us to keep pace with increased output from the bakery and double our capacity.

“But our investment in the bakery doesn’t stop at installing new vessels. The last year has seen retail sales continue to rise and the recovery in our fish and chip shop heartland was quicker and stronger than anticipated.

“This means we can continue to invest in growing our business and our team, with our Pukka colleagues, led by Isaac Fisher in his new role of managing director, continuing to be at the heart of our success and future vision.

“We recently made a major move in the savoury pastry category with the launch of a range of Pukka sausage rolls, slices and a pasty, supported with our biggest ever marketing campaign.

“In just two months, three of our recipes became top performers in the category.

“On top of these achievements, Pukka’s brand awareness shot up to the highest levels we’ve ever seen and we’re set to build on this further when we’re back on TV again in spring.”

Ms Ewan said Pukka also continued to focus on the local community and sustainability, sending zero waste to landfill with all excess pies –that are safe to eat – packed and distributed to local and national charities.

She said: “Giving back to the community is part of what makes Pukka, Pukka.

“Last year, the business donated over 228,000 pies to charities across the UK which is a 151 per cent increase on the previous year, and we will continue to play our part in feeding the people of Britain.

“Looking back, Pukka has been on a phenomenal journey in the last few years, but it hasn’t been plain sailing.

“The out-of-home market was hit hard by Covid-19, and we continue to work closely with our partners in this sector to support their businesses.

“There is also a huge amount of uncertainty about the year ahead, with fierce pressures for all UK businesses surrounding inflation and security of supply.

“The situation is challenging to the whole of the food industry, with some of the most brutal trading conditions the industry has ever seen.

“But despite concerns rippling through the industry, our ambition hasn’t changed.

“It’s our number one priority to keep feeding the nation and we will continue to invest in our people, bakery, brand and environment, so we can put Pukka in more hands, on more plates, on more occasions.”

Pukka Pies was founded by Trevor and Valerie Storer in Leicestershire in 1963, and today sells its products to fish and chip shops, stadia, pubs, cafes and supermarkets across the UK.

It is still owned by the Storer family.

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