Liverpool brewery Cains has closed its supermarket own label brewing and canning operation as it prepares to submit plans for a multi-million pound tourism, leisure and retail scheme at its city centre site.

The group said the move would not impact its Cains brand and pub operations but follows increased competition in the supermarket sector. A total of 38 employees have been made redundant.

Managing director Sudarghara Dusanj said: “The own label brewing and canning business for the supermarket industry has been deteriorating for some time because of competition from modern, purpose-built operations, many of them overseas. We have been working with our professional advisors in an attempt to restructure and continue this part of the business but it has not been possible.

“It is with regret, therefore, that all own label brewing and canning business for supermarkets has ceased with immediate effect. We would like to thank our staff for their dedication and hard work over the years and to wish them the very best for the future. Our plans to redevelop the site are progressing in a very positive manner and are unaffected by this move.”

Cains said earlier this year that it would look to add to its pub estate after completing a planned £50m project to develop its Liverpool brewery into a major tourism, leisure and retail destination. The company will be submitting plans in the summer for the scheme, which will include the development of a national visitor destination and create 800 jobs.

The scheme, called Brewery Village, would see the restoration of the historic Grade II listed building to its former glory, housing the traditional Cains craft brewery and tour with a spectacular ‘Sky Bar’ in the roof which would offer views over the city and the River Mersey.

The building would also house a 100-room boutique hotel, digital work studios and a large open plan delicatessen-style food market and restaurant for independent artisan producers to make and sell their produce on site.

There would also be a spa and gym and function rooms. The existing historic Brewery Tap pub would be restored and retained and a four-screen independent art-house cinema, separate food store, high quality apartments and car parking would be created.

On an adjacent site are plans for a major Phase Two residential development which would consist of high quality apartments.

The Brewery Village scheme would transform one of the city’s most important sites and create a new tourist destination capable of holding food, craft and cultural events which would complement the city’s existing retail and leisure offer.

A market appraisal of the site predicts it would attract about 500,000 visitors a year once complete.
Cains expect to submit a planning application and application for listed building consent by the end of July.

If consent is granted, work on the site would start next spring.