Dairy Crest Group, Britain's largest dairy food company, plans to slash about 260 jobs and close its Hanworth glass bottling dairy and Chard facility, owing to lower demand for glass bottles and financial viability.
As part of the plan, The Hanworth dairy is expected to remain operational for about two years, while the Chard facility will be shut in the second half of 2015, Dairy Crest said.
The proposal to end production at Hanworth, which currently employs around 200 people, follows a strategic review of the company's residential delivery service and is seen to be necessary to protect the long-term future of this business.
Dairy Crest Group chief executive Mark Allen said: "The decisions to consult on the closure of our Hanworth and Chard sites have not been taken lightly, but they are right for the long-term future of the business as a whole."
The company noted that it anticipates overall first half group profits broadly in line with last year in a challenging trading environment.Further, the company said its overall profit expectations for the full year ending 31 March, 2015 remain unchanged.
For the six months, sales of four key brands - Cathedral City, Clover, Country Life and FRijj - together grew by 4% in the first quarter, and the firm expects to report a similar growth rate for the first half.