Müller confirms £45m investment in Skelmersdale site
Müller UK & Ireland has unveiled plans to invest significantly in its Skelmersdale site, its people and supplying farmers, following the acquisition of Yew Tree Dairy in October 2024.
The dairy company is investing an extra £45 million 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.
Investment in the site
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 – unlocking new growth opportunities for the site’s supplying farmers.
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.
Investment in people
To support additional production and maintain first class levels of service for its customers, 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.
All vacancies will be advertised on Müller’s career website.
Investment in supplying farms
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 November 1st 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.”
Daniel Zeichner, Minister for Food Security and Rural Affairs, said: “Britain is a great place for dairy farming and has an excellent reputation for quality, welfare standards and sustainability. We are proud that global brands such as Müller see the UK as a great place to produce quality food and drinks.
“With greater capacity new growth opportunities will be opened for the site’s supplying farmers along with new job opportunities for the local community. This is a key example of the government’s Plan For Change in action, unlocking investment for businesses in the UK resulting in growth that’s securing real opportunities for people in our country”.
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