Around 150 positions at Castleford’s Burberry manufacturing site will be affected as the fashion brand announces plans for 1,700 job cuts.

The iconic British fashion house is preparing to cut up to 1,700 jobs globally as it ramps up efforts to stem losses and restore its luxury brand to profitability.

The job cuts form part of a wider cost-cutting drive at Burberry, with the company announcing plans to double its savings target to £100 million a year by the 2027 financial year.

A significant portion of those savings will come from “people-related costs,” according to the company, which will be rolled out over a two-year period.

About 150 positions will also be affected at the Castleford factory.

placeholder image — About 150 positions will also be affected at the Castleford factory.

The majority of the Burberry job reductions are expected to come from head office roles, particularly in London and Leeds.

About 150 positions will also be affected at the Castleford factory due to the elimination of the night shift.

In February this year, it was announced that Wakefield Council granted planning permission for the upgrade of the company’s manufacturing site at Coronation Mills.

Burberry, Castleford: Luxury clothing factory set for major revamp

Around 635 employees are based at the site on the Albion Street, close to the town centre.

While Burberry has not announced any store closures, the company has indicated that some savings will come from restructuring store staff rotas.

The announcement comes after Burberry reported a pre-tax loss of £3 million for the year ending March 29, a big drop from the £418 million profit it made the year before.

But when one-off costs are taken out, the company still made an adjusted profit of £26 million — more than double the £11 million some experts had predicted.

Burberry’s performance has been weighed down by weakening demand in China, one of its largest and most critical markets.

Chief executive Joshua Schulman told investors: “While we are operating against a difficult macroeconomic backdrop and are still in the early stages of our turnaround, I am more optimistic than ever that Burberry’s best days are ahead and that we will deliver sustainable profitable growth over time.”

The company first launched a £40 million cost-cutting programme in November 2024 after slipping into the red. Today’s announcement adds another £60 million in targeted savings.

But there are signs that Burberry’s strategy may be beginning to gain traction.