Shropshire Star

Shrewsbury MP's call to minister after food firm folds

MP Daniel Kawczynski has called for a meeting with business secretary Vince Cable after a county firm which supports hundreds of jobs in food production across the region went into liquidation.

Published

The MP for Shrewsbury and Atcham has written to Dr Cable to ask what the government can do to help Heart of England Fine Foods (Heff).

Last week the firm announced it was entering into liquidation with the loss of 15 jobs.

The not-for-profit company has collapsed after 16 years, blaming a combination of factors including missing out on funding from the Government's UK Trade and Investment group.

In his letter Mr Kawczynski praised the company for the work it has done over the years and said he was concerned that it had missed out on the cash.

His letter said: "Over the last 16 years Heart of England Fine Foods has created and protected over 2,000 jobs, supported at least 2,800 food and drink manufacturers and has generated around £90 million."

He said it was his understanding that the voluntary liquidation "is due in part to funds from UK Trade & Investment 'not materialising'," despite being allocated in January.

"If this is the case then I am deeply concerned," he wrote.

Mr Kawczynski wrote the letter on behalf of Karen Davies, chief executive of the firm.

He added: "There will be a meeting of shareholders on July 9 and you will appreciate that I would very much like to be able to go back to Ms Davies before then."

In a statement, Heff said that while its move to Shrewsbury College of Arts and Technology last year had provided a temporary lifeline, it was not producing enough income to replace the funding it lost and was therefore not viable.

It blamed the Government for being "short sighted" in not supporting a group that was created to market the food and drinks industry in the region and warned its closure could have a disastrous impact on small firms, putting hundreds of jobs at risk.

Sorry, we are not accepting comments on this article.