HP Sauce - Heinz Takeover and Transfer of Production

Heinz Takeover and Transfer of Production

In June 2005, Heinz purchased the parent company, HP Foods, from Danone. In October of that year the United Kingdom Office of Fair Trading referred the takeover to the Competition Commission, which approved the £440 million acquisition in April 2006.

In May 2006, Heinz announced plans to switch production of HP Sauce from Aston to its European sauces facility in Elst, Netherlands, ironically only weeks after HP launched a campaign to "Save the Proper British Cafe". The announcement prompted a call to boycott Heinz products. The move, resulting in the loss of approximately one hundred and twenty-five jobs at the Aston factory, was criticised by politicians and union officials, especially as the parent company still wanted to use the image of the House of Commons on its bottles. In the same month, local Labour MP Khalid Mahmood brandished a bottle of HP Sauce during Prime Minister's Questions in the House of Commons as part of a protest against the Heinz move. He also made reference to the sauce's popularity with the former Labour Prime Minister Harold Wilson. These plans were confirmed on 23 August 2006 and the factory at Aston ceased production on 16 March 2007. A week later a "wake" was held at the location of the factory.

The factory was demolished in the summer of 2007. The tower of the factory was a famous landmark alongside the Aston Expressway. one of the giant logos from the top of the tower is now in the collection of Birmingham Museums & Art Gallery.

The six-acre Aston site was purchased by developer Chancerygate in 2007 at £800,000 per acre, but they subsequently sold it for half that price and it now houses a distribution warehouse for East End Foods.

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