Regulator insists Worcester plant be divested to protect competition
The Competition and Markets Authority (CMA) has ruled that frozen-pastry producer Vandemoortele must sell its Worcester laminated dough factory as a condition of approving its acquisition of fellow European supplier Délifrance. The decision is focused on safeguarding competition in the UK market for frozen viennoiserie such as croissants and pains au chocolat.
The takeover was completed on 31 December 2025, and the CMA said that without a divestment the combined group would have become the largest supplier of frozen viennoiserie in the UK by a considerable margin. That dominance, the regulator concluded, would have posed a substantial risk to competition among suppliers that serve supermarkets, cafés and foodservice customers.
The watchdog reviewed both companies’ internal documents, bid information and evidence from third parties during its inquiry. It accepted a remedy proposed by Vandemoortele early in the process: the company offered to carve out its Worcester laminated dough plant together with its UK sales office in Staines, to be sold as a going concern.
- The divestment must include the Worcester plant (laminated dough production).
- The proposed sale would transfer the UK sales office in Staines alongside necessary contracts and customer relationships.
- Staff associated with those operations would also be included in the sale, according to the remedy offered.
“Once Vandemoortele conceded that their merger raised competition concerns, we could streamline the investigation, discuss remedies at an early stage and ultimately make a final decision well ahead of the statutory deadline,”
These were the words of Martin Coleman, chair of the CMA’s inquiry group, who emphasised that keeping competition intact helps to restrain prices in wholesale markets such as frozen pastry – products widely used by everyday shoppers in cafés and supermarket bakeries.
What this means for Worcester and the local supply chain
The decision to require a sale of the Worcester plant will be closely watched across the city. The remedy is designed to transfer the factory and associated UK sales operations to an independent operator so that customers and competitors face a market in which no single supplier holds an overwhelming share.
For local businesses that purchase frozen viennoiserie or rely on the plant’s output, the CMA’s approach is intended to prevent price rises and loss of choice that can follow high market concentration. The regulator spelled out that transferring Vandemoortele’s UK sales operations to an independent firm will preserve competition and help keep prices in check for consumers.
At this stage the CMA’s ruling sets the framework for a divestment rather than specifying a buyer or timetable for the sale. Vandemoortele’s offer to carve out the Worcester facility means the factory and the Staines sales office should be sold together with the contracts, customer relationships and staff needed for the business to continue operating.
| Fact | Detail |
|---|---|
| Companies involved | Vandemoortele and Délifrance |
| Transaction completed | 31 December 2025 |
| Remedy required | Sale of Worcester laminated dough plant and UK sales office in Staines |
| Reason | Prevent Vandemoortele becoming the dominant UK supplier of frozen viennoiserie |
Local questions now
Residents and local stakeholders will expect clarity on several points: who will buy the Worcester plant, whether the buyer will retain the workforce and supply contracts, and how quickly the transition will happen. The CMA’s remedy requires that the divestment is structured so that the buyer can operate the business independently and continue to supply customers without interruption.
For Worcester, the ruling removes the immediate risk of the plant being folded into a dominant national supplier without any safeguards for competition. It also places the future of the site in the hands of the market: a sale to a capable independent operator will determine how the factory’s role in the local economy evolves.
The CMA framed the intervention as protecting everyday shoppers and wholesale customers by preserving competitive pricing and choice in the frozen-pastry market. For Worcester’s manufacturing community and the businesses that rely on its output, the next phase will be the practical task of arranging a sale that meets the regulator’s conditions while securing continuity for staff and customers.
