Muller has announced a £45 million investment in the Skelmersdale site, marking a major upgrade aimed at boosting production and strengthening relationships with farmers.
The move follows the acquisition of yew tree dairy products by dairy processors in October 2024, and is part of a broader strategy to expand its presence in the UK dairy sector.
This investment will significantly enhance liquid milk processing capacity at the West Lancashire facility and establish major milk drying operations.
Once completed, Skelmersdale is set up to be one of the UK’s largest and most flexible milk balancing facilities.
This expansion will increase powdered milk by 30%, placing Muller as an important exporter of British-made powdered milk.
The additional drying capacity is also expected to improve the company’s ability to manage seasonal surges, particularly in milk supply, after farm production during spring 2025 flashes.
As part of a wide range of growth plans, dairy processors are also investing in relation to farmers’ supply.
This element is the introduction of the Muller Advantage program, which supports best practices in areas such as responsible sourcing, animal welfare, and environmental sustainability.
To complement the initiative, Muller introduces a modified pricing structure designed to provide greater stability and transparency.
Starting November 1, 2025, the supplier has the option to adopt a new Muller Direct Skelmersdale price calculated using the company’s liquid and ingredient price combination based on published global indexes.
Farmers can also continue with the pricing model for existing Muller ingredients.
“We’re looking forward to seeing you in the future,” said Rob Hutchison, CEO of Muller Milk & Feedients. “It increases the production capacity, capacity and quality of liquid milk, making it one of the largest and most flexible milk balance sites in the UK.
“With great investments in the Skelmersdale site, its people and supply farms, we are creating exciting new opportunities throughout our supply chain.”
Food Security Minister Daniel Zechner also welcomed the move. “We are proud to see global brands like Muller as the perfect place to produce quality food and drinks.
“The greater capacity opens new growth opportunities to new job opportunities in the community for the site’s supply farmers.”
