FAMILY bakery Aulds has shut its store in Renfrew amid plans to turn round the business.

Liquidators of the business closed the Hairst Street store along with three others across Scotland after the company was said to be in an 'unsustainable loss-making position' due to pressure from competitors and increasing ingredient, wage and distribution costs.

Staff have been contacted and their claims will be dealt with by the Redundancy Payments Service.

The liquidators, Paul Dounis and Steve Ross of RSM Restructuring Advisory LLP, are continuing to assess the position of the remaining 22 stores, one of which is in Johnstone's High Street.

The remaining stores will continue to trade for now and Aulds products will remain available in Scotmid stores and other independent shops across Scotland.

The group reported a loss of £430,000 on a turnover of £15.4 million in the year to April 1 2017. Turnover increased from £15.2 million the previous year.

The bakery will now focus on growing its production and wholesale operations at its bakery in Greenock and dessert site at Inchinnan, which employ 200 staff in total.

Managing director Alan Marr, a fourth-generation descendent of founder Thomas Auld, who opened his first bakery store in 1900, said the action is the only way to protect the rest of the business.

He said: "We have invested considerable time and effort over a period of several months looking at alternative courses of action which would allow us to avoid the voluntary insolvency of our retail business.

"Unfortunately, the losses in our retail business are such that the rest of the group is no longer able to sustain it.

"We sincerely regret that a significant number of our colleagues will be affected by these circumstances, and we'll be working closely with local job centres and other services to help people into new jobs if necessary.

"The Aulds brand is one of the last large independent retail bakers in Scotland and we passionately believe in our products and are absolutely committed to a successful future for this business."

Speaking after the announcement, Mhairi Black, MP for Paisley and Renfrewshire South, said: “The news that Aulds are placing their retail arm into liquidation brings huge uncertainty and stress to the people in Renfrewshire who work in the local stores throughout the area.

“Aulds has been a staple throughout Renfrewshire for such a long time and it will be very sad if stores are forced to close. 

“It is deeply upsetting that staff working in Renfrewshire shops are potentially facing job losses, and my thoughts are with all of those who are now confronting this awful uncertainty.”