Dozens of jobs could be slashed at a historic paper company in Cornwall.
Some 167 people are at risk of losing their jobs at international paper and packaging firm DS Smith in Launceston, which has been a major employer in the North Cornwall town for almost 60 years.
The company, which in 2019 celebrated 50 years of production in the town, said the decision to close its Link Road site in Launceston followed a “review of UK packaging operations” amid “tough trading conditions”.
DS Smith is one of the UK’s leaders in innovative corrugated packaging and processes 28,000 tonnes of paper a year.
In a post on Facebook, Adrian Parsons Cornwall councillor for Altarnun and Stoke Climsland said the news had come as a great shock and sadness.
He said: “I cannot express how sad I am to see it reported that a consultation is taking place to close the DS Smith factory in Launceston. Given its prominent location, it has been something of an iconic business in the town for more than 50 years.
“As a young lad growing up locally, travelling past the site daily on the school bus, we saw it develop and evolve, from the early days of Tillotsons, to St Regis, and then to DS Smith, eventually, I understand, being taken over by an American company. For so many people in Launceston, it has offered opportunity and provided work for local families.
“The potential loss to our town cannot be underestimated and the impact would be widely felt. I sincerely hope meaningful discussions can be held with the owners to find a responsible way forward for all the staff. It is those employees who have made the site the success it is today, and they deserve better.”
He said the staff are obviously worried about losing their jobs and about the future.
DS Smith first opened as Tillotson’s in 1968 and has since been through a series of takeovers, most recently by US business International Paper, which acquired the operation in January 2025.
It previously made 70 staff redundant at its base in Louth, Scotland, in 2024, and closed sites in Plymouth, Derbyshire, Newcastle, Sheerness and Wellingborough following consultations last year.
Ben Maguire, Lib Dem MP for North Cornwall, has criticised the Government’s “anti-business approach” adding that companies such as DS Smith were being “hammered”.
Describing job losses as a “trend across North Cornwall”, he said his inbox was “absolutely flooded” with small and medium-sized businesses complaining about rises in national insurance costs and minimum wage hikes.
He said such changes had been a “perfect storm” alongside the rising cost of living. Calling on the government to step in, he said Cornwall was not getting a “slice” of regional growth investment.
A spokesperson for DS Smith said: “To improve efficiencies across our business and to ensure we respond to the evolving needs of our customers in what are tough trading conditions for the industry, we have undertaken a review of our UK packaging operations.
“As a result of this review, we can confirm a proposal has been made to close a site within our network. A consultation process with employees is ongoing, during which DS Smith (and International Paper) will not comment further.”
A government spokesperson told the BBC: “While this is a commercial decision for DS Smith, we understand this will be a concerning time for workers and their families and support is available for those affected.
“The decisions we made at the Budget mean we can stabilise the economy and deliver support for families and businesses.”
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