Müller confirms £45m investment in UK site

Müller UK & Ireland has unveiled plans to invest significantly in its Skelmersdale site in the UK, following the acquisition of Yew Tree Dairy in October 2024.  The dairy company is investing an extra £45 million (€52m) into the West Lancashire milk production site to enhance its liquid milk production capacity, capability and quality, and create a flagship facility for milk drying. Müller Skelmersdale will become one of the biggest and most flexible milk balancing facilities in the UK. 

With the capacity to produce 30% more powdered milk, the business will become a major producer and exporter of powdered milk products made in Britain, with milk from British farms and new growth opportunities for the site’s supplying farmers, the company says.

Following record high milk production on farm during the 2025 spring flush, the extra drying capacity also gives the business significantly enhanced milk balancing capabilities. 

To support additional production, Müller is looking to recruit 40 new employees at the site. Vacancies will range from control room technicians and forklift drivers to engineers, and management and support. New employees will be given appropriate training, depending on experience, as well as a competitive salary and a range of employment benefits.

Müller has also confirmed, as part of a long-term programme designed to drive security of supply and help farmers operate successful and progressive enterprises, it is investing in its relationships with the site’s supplying farmers. 

As a first step, the dairy company will introduce its incentivised Müller Advantage programme for Müller Direct Skelmersdale supplying farmers, an initiative that provides farmers with the knowledge and skills to proactively address areas like responsible sourcing, cow health and environmental issues. 

In return, Müller will introduce an amended contract offering that is designed to create a more stable milk price, while offering transparency. 

The majority of Skelmersdale supplying farmers currently receive an ingredients only price. From 1 November 2025, all Skelmersdale supplying farmers will have the option to either receive a Müller Direct Skelmersdale price, calculated using a combination of the existing Müller Direct liquid and ingredients price – which uses published global indices, or a Müller Ingredients price. 

The changes, which act as a first step on this journey, will create higher annualised and more stable returns for the majority of the site’s supplying farmers, creating the conditions to help plan for the future of their business. 

Completion of the investments at the site are expected by the end of 2026. 

Rob Hutchison, CEO of Müller Milk & Ingredients said: “Since we acquired Yew Tree Dairy, the teams have been working day and night, not just internally, but closely with its customers and suppliers to integrate the Skelmersdale operation into the wider Müller business.

“At the time of the acquisition, we said we wanted to go even further and invest significantly in this location. And that’s exactly what we’re doing, we are enhancing our liquid milk production capacity, capability and quality, and creating a flagship facility for milk drying – one of the biggest and most flexible milk balancing sites in the UK.

“With significant investment in the Skelmersdale site, its people and supplying farms, we are creating exciting new opportunities for the whole supply chain, which in turns helps us on our journey to build a better future for British dairy sector.”