Routledges the Bakers, a renowned UK bakery chain with a 109-year legacy, has announced the permanent closure of all eight of its shops. The decision comes in response to relentless cost increases and mounting financial pressures.
In an emotional statement, the company revealed, “Since late 2024, we have faced relentless hikes in operational and ingredient costs. Coupled with rises in the minimum wage, business rates, and the anticipation of further energy price increases, our expenses are set to surge by over £80,000 in 2026 compared to this year.”
The bakery also highlighted a significant decline in high street customer footfall, which compounded the challenges. “With incredibly heavy hearts, we have made the decision not to continue into another year faced with rising costs and uncertainty,” the statement concluded.
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A key factor in the financial strain was the dramatic rise in business rates after the removal of the 40% hospitality relief, a crucial support mechanism for businesses like Routledges.
Reflecting on the situation, a Labour Party spokesperson expressed sympathy for the affected employees and noted ongoing government efforts to support high streets. “We’re reforming business rates with a £4.3 billion support package, cutting red tape, and addressing the cost of living to help revive the sector,” they said.
Chancellor of the Exchequer Rachel Reeves emphasized the importance of revitalizing local businesses and high streets. “We’re backing British pubs and businesses with additional support and a new High Streets Strategy aimed at tackling long-term challenges,” Reeves stated. “Our goal is thriving local businesses, bustling streets, and renewed community pride.”
Despite government initiatives, the closure of Routledges the Bakers marks the end of a significant chapter in the UK’s bakery and high street history.