Plastic straw ban sees manufacturer prosper from paper

Mail Solutions has chosen to begin manufacturing the new product after experiencing increased demand for sustainable paper products following the high-profile ban on plastic straws announced earlier this year.

The business turned to its long-term funding partner which provided a six-figure finance package, including an asset finance facility, to invest in new machinery to produce paper straws.

As a result, it has already increased its turnover projections by £500,000 this year and created six new jobs.

The business manufactures and supplies envelopes and other printed stationery products to businesses across the UK, with clients including firms in the financial, mail order and blue chip sectors. It employs more than 260 people at its sites across the country and currently has an annual turnover of £34 million.

Jon Higson, group finance director, said: “This investment is the first step in our strategy to create a wider variety of sustainable products, which is a real growth opportunity.

“We’ve already had huge interest in the paper straws and have plans to diversify further to help our customers operate more sustainable businesses.

“The Lloyds Bank team understands our business really well and was able to provide funding that was tailored to our exact needs with an asset finance facility. The support they have provided has been invaluable in helping us to reach this new chapter for Mail Solutions.”

Jason Gregory, relationship manager at Lloyds Bank Commercial Banking, said: “Sustainability is high on the agenda for many businesses in the UK, with a recent report by Nielsen showing that consumers prefer companies that value being eco-friendly.

“Mail Solutions has moved quickly to capitalise on this opportunity, made possible by the right funding solution for them, and is set to reap the reward with increased turnover.

“It’s great to be by the side of this longstanding client as it implements the first step in its sustainable product strategy and this is an example of how we’re helping British businesses to prosper.

“As part of this commitment, we’ll be supporting firms with specialist support from our expert team and a pledge to lend £2.5 billion to West Midlands businesses this year.”