Shocked staff made redundant from Lancashire cheese company Singletons & Co say they were "proud" to work there but didn't see closure coming

Staff say they had little warning of the financial crisis engulfing the Singleton’s Dairy company which is based on Preston Road, Longridge, near Preston and traded as Singletons & Co. They were told last week that the long established dairy business and cheesemongers was up for sale.

Workers had been advised that if a buyer was not found within days the company, founded as Singletons Dairy in 1934, would go into administration.

That is what happened on Monday when most of the workforce was made redundant. In all 69 staff were told to leave and just 12 workers were retained to help with the administration process.

Nor is it just Singleton’s Longridge payroll workers who will be affected – the company also recruited temporary workers at key times of the year and relied on farms for its supplies of cow’s and sheep’s milk. A large proportion of Singleton’s business was focused on exporting cheese to Europe and America with Singletons also exporting other manufacturers’ cheeses.

Staff have paid tribute to the family owned company and its products, while also speculating about what future it may have, if any.

One former worker said: “Singletons had a very good history, great cheese and it was a great company to work in. It’s a great loss to the family and a great loss to the whole community – it’s a bit of history that has unfortunately come to an end. I don’t think it will be forgotten. My sympathies go out to workers who have lost their jobs and also the family.”

Another employee said: “I didn’t think it was coming. I’m just sending information to recruiters. We’d no notice or warning or anything. We were told (last) Wednesday that if they’d not found a buyer by the end of the week they would be in administration on Monday...It was quite a surprise, a shock.”

He noted farm gate prices had risen sharply within the last few months adding: “It’s a challenging time for dairy, food and drink.”

Another staff member said: “Everyone that worked there, myself included are very proud of working there, what they did and what they achieved. It’s just a shock.”

One member of staff noted prices of raw materials had gone up significantly over the past six to eight months and these increases could not be immediately passed on to customers, adding: “It’s all come to a head.”

Brexit had ”made trading in Europe significantly harder. It’s gone from one of the easiest places to trade and export to one of the most difficult,” said another ex-worker.

The Brexit Bus had visited Singletons when Boris Johnson and colleagues were campaigning prior to the Brexit referendum.

The bulk of Singletons cheese exports are thought to have been to America and the rest of the world.

What does administration mean for a company?

Kroll has been appointed as the Longridge based company’s administrators.

Companies House says when a company goes into administration, it has entered a legal process under the Insolvency Act 1986.

The appointed administrators may seek to rescue a viable business which is insolvent due to cashflow problems.

It said administration provides a ‘breathing space’ freeing a company from creditor enforcement actions, while financial restructuring plans are prepared to rescue the company as a going concern where possible.

A company could be sold or administrators will seek to achieve better returns for creditors than if the company was wound up without an administration period.

A company in administration may continue to trade for a period while sale of business or assets is sought. Daily management passes to the administrators from the company directors. Administrators may also decide to liquidate assets. Creditors will be asked to vote on the administrators’ proposals.

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