Forterra, the brick manufacturer, is planning to submit an application that will help significantly expand its brick production plant in Desford, Leicestershire. The company admitted that the new facility will more than double its production to 180 million bricks a year, at a cost of £90 to £95 million.

“We have chosen redevelopment of the Desford site as the favoured option of those considered as it enables us to replace the existing plant with a larger modern facility, providing both additional capacity and the benefit of a lower production cost. This will give us the flexibility to continue to serve our customers and meet their requirements as the market grows,” said Stephen Harrison, chief executive at Forterra.

Until the new facility will be built, the existing plant will remain in operation. Subject to planning consent being received, it is anticipated that the new plant will be commissioned in late 2021 and that the capital expenditure will be spent over the period 2019 to 2022. The enabling and preparation costs of £1.5 million have already been committed and included in the capital budget for the current year.

“The high level of capacity utilisation in the UK brick industry, together with the attractive long term fundamentals on house building supported by government policies, provides a sound basis for this major investment,” said Stephen Harrison.

“The project is a key part of our strategy to grow our core business and pursue manufacturing excellence, driven by our strong customer relationships as well as our people. It will enable us to continue delivering sustainable shareholder value,” he concluded.