Andrew Pyne, Chief Executive of the UK’s Federation of Bakers, looks back on an eventful year in the country and outlines the organization’s projects, challenges and priorities.
Catalina Mihu: Just before the end of the year, several industry events were held in Brussels, including the AIBI Bread Campaign, the Sustainable Wheat Initiative and committee meetings, which brought together all European trade associations. How would you describe the pulse of the industry, from these end-of-year gatherings?
Andrew Pyne: There are many positive developments and some genuinely interesting people on the European board.
The feeling is that we, as a bakery industry, need to do more and talk about our sector more. I think, historically, we have just been carrying on with our work; everybody does a brilliant job manufacturing great products, but we don’t take enough time to talk about the great job that we do, or the amazing products that we have.
We also need to talk more about some of the challenges we face. The transition to sustainability is a journey that doesn’t come quickly, doesn’t come easily, and doesn’t come cheaply.
Another important example could be the conversation around ultra-processed foods, in light of health concerns. I think this label doesn’t really apply to products in our category. Besides, ‘ultra-processed’ is a meaningless title for most people. When consumers are surveyed for market research, if they are avoiding UPF, of course, they will say ‘yes’. But is there a corresponding impact on sales? Not really evidenced yet.
Consumers love our bakery offerings and enjoy a wider range of specialties for different occasions. This is a growing trend, and a really interesting space that holds a lot more opportunity still. That’s a good sign.
Mihu: Last year, ABF announced the acquisition of Hovis Group, signaling a change on the UK’s bread market. What is your perspective on the latest market changes?
Pyne: We’re also seeing businesses merging, with some recent examples such as Delifrance and Vandemoortele in the EU, and the proposed Hovis Allied merger here, in the UK.
Consumer shopping and consumption behaviors are evolving, and the industry is changing to reflect that. But I think it is a really positive space. We look forward to 2026, and we know that the industry can do more, we will do more, and will communicate through the appropriate channels. So I think it’s a positive outlook.
Mihu: What was the conversation around UPF vs. bread at these recent meetings?
Pyne: The board reviewed our strategy and all the emerging elements. However, ultra-processed food is definitely a topic we recognize; in the bakery industry, products are mostly positioned as either processed or ultra-processed, depending on whether they are wrapped or not. We saw the Lancet series that was published trying to categorize what UPFs are, what they look like, how they should be understood and what the policy areas are surrounding the category. There’s a lot of debate on this topic, too! As an industry, we look at scientific evidence. UPF is not clear until it is defined, providing evidence about a detrimental impact on health. Then, policy makers can look into how the regulatory environment needs to change, if at all. At the moment, such a clear definition and supporting evidence do not exist; meaningful regulations cannot be created based on theories, without having defined criteria and specifications. The concept is still very loosely detailed and very generic, with the difference between products in an in-store bakery, for example, being that they are processed until packaged, when they become ultra-processed. How does that change what a product is? It doesn’t make sense, from a scientific perspective; more information and research are needed on this topic.
“The Industry Sustainability Strategy Working Group shortlisted five main areas on which we would work: food waste, packaging and the circular economy, Scope 3, Scope 1 and Scope 2, and nature and the environment
(including agriculture, with a focus on wheat).”
Andrew Pyne, Chief Executive, Federation of Bakers
It’s also been argued that the number of ingredients used can make products fall into the UPFs category. But, to give just one example, in the UK, non-wholemal flour is fortified, by The Bread and Flour Regulations, which means that there are more than five ingredients going into products, five ‘ingredients’ that most people don’t recognize – such as niacin, thiamine, folic acid, calcium carbonate and the like. They are not in the kitchen cabinet, but it’s a legal requirement to have in flour. So, if that’s your definition of being over-processed – using ingredients that aren’t found in your kitchen cupboard, then it’s just nonsense. It can’t be applied to baked goods that way, or indeed any goods using UK non-wholemeal flour.
Mihu: What were the main conversation topics?
Pyne: We believe that all large plant bakers should be supported by our shared knowledge, experiences and codes of practice. Challenges around sustainability and related investments were part of the conversation. We are also planning substantial actions in 2026 – we will share details later on.
We looked into how we can best represent our national trade associations. From AIBI’s perspective, at a European level, we can use our voice to accelerate required changes. We also want to ensure we are supporting our membership and encouraging their growth.
Andrew Pyne visited Federation of Bakers’ member Irwin’s Bakery (W.D Irwin & Sons) in Portadown, hosted by Irwin’s Chairman Brian Irwin, a fourth-generation owner of the family business. Irwin also serves as the FoB Chairman
Flour fortification: folic acid
Mihu: One of the long-running projects of the FoB has been the folic acid flour fortification, which now nears implementation. What was the Federation’s contribution to flour fortification?
Pyne: The Federation of Bakers supports the fortification of flour with folic acid and have done so for many years. We agree that it’s the right thing to do because it benefits public health. We know the science behind it and its positive impact. It’s taken a long time to get to this stage: the consultation came out in 2022 and it was included in The Bread and Flour Regulations in 2024. The amendment not only detailed the fortification with folic acid, but also aligned some other vitamins and minerals in the UK’s manufacturing space. From flour producers to users, four associations collaborated on it: the UK Flour Millers, the British Retail Consortium, the Food and Drink Federation (FDF), and the Federation of Bakers (FoB). We worked collectively to determine how to take what was then a regulation process and implement it by December 2026, within the given timeline. Efficient implementation was key, which, for our members, means avoiding packaging write-offs and additional costs, and ultimately bringing the compliant product to the consumer as soon as possible.
But obviously, it was incumbent on the flour millers to deliver the folic acid into the flour. We worked closely together to engage with the Department for Environment, Food & Rural Affairs (DEFRA) – the government department behind the regulation, to help with technical guidance. We created a delivery strategy in this way. What does it mean? Seeing as around 30% of UK products contain flour, that’s an awful lot of packaging that needed to be updated. We also needed to ensure that the information was passed on; the FDF sent updates to its membership. We all worked together on a realistic timeframe to change packaging. Existing stock of packaging supplies couldn’t simply be wasted, for example.
So, the project also included supporting DEFRA, giving them a strategy of how the industry proposed to implement it, and then having to work back with the supply chain. Premix suppliers had to source the folic acid, which is then sold to the flour millers to be added. This requires a significant timeframe in itself. Only then can the members of the bakery industry start working on changing packaging. The whole process highlights how the bakery industry collaborates with the supply chain. Most major flour millers in the UK have been using the new fortification in their milling process since the beginning of autumn 2025. So it’s a success!
Mihu: What obstacles have you encountered in this process?
Pyne: The previous Bread and Flour Regulations came into force in 1998. It was updated in 2024, so legislation changes are a very lengthy process to begin with. Starting from the type of folic acid used (the regulation requires pharmaceutical-grade folic acid to be used) and associated costs, meant that many different pieces had to fall into place to complete the process.
Mihu: But scientific advances happen so much more quickly now.
Pyne: We hope so. We would hope to keep pushing the next time there’s a development out there that benefits the population and should be included. We are now finished with the folic acid fortification; it was implemented in most of the industry before the end of 2025 – and the good news is that’s one year ahead of the December 2026 regulation deadline. That should be celebrated! The industry acted fast, as quickly as it could within the constraints, and delivered this fortification very swiftly.
Mihu: How has this been perceived by the consumers?
Pyne: That’s a conversation we’ve had with DEFRA, as we did anticipate questions.
Because it’s a government regulation, we said the government should own the communication on that. We considered a consumer campaign to educate consumers, but it didn’t go through.
But, the Food Standards Agency was given the responsibility to post a dedicated page on its website, explaining fortification, the rationale and its health benefits. So, as an industry, we can point consumers to this very trusted resource, where the key information about this legal requirement is available.
There’s always been some form of concern regarding having fortification for the masses when it benefits a minority; however, the academic research and science supports it is safe to consume for the society overall, while it supports prenatal health immensely.
Mihu: Speaking of communicating ingredients and their benefits, how are messages delivered to consumers, through what channels?
Pyne: It’s the brands that are best suited to deliver consumer messages, and the people behind them – whether that be the retailers of private label (which, in the UK, is roughly half of the bread market), or brand.
Our audience, as the Federation of Bakers, is different. We’re first of all supporting our members to establish an alignment of messaging. It entails engaging with our stakeholders, and that can be within government, but also the influencers, people who are writing about bakery baked goods, whether that be in print media or online. Those are the people whom we should be informing, the people we should communicate with, so we can have an impact as a federation.
“Do the right thing”
Mihu: Speaking about an alignment of messaging, what is the general consensus now, regarding the priorities of the UK industry?
Pyne: The main priority for us and our members is that we all work on sustainability. We’re looking for answers to different questions. What is it we are doing as part of our journey to tackle food waste, for instance? Household food waste is significant within bakery. And what are we doing as an industry in the manufacturing space? It’s also important to consider waste in production.
We are also focusing on health and safety, for which we have a dedicated committee.
Our challenge is how to promote the positive achievements that we accomplish and the journey that we’re on, but also to protect the bakery industry from misinformation. And there is a lot of misinformation out there, from various campaigns lacking knowledge.
Mihu: What’s on the agenda of the FoB’s sustainability group now?
Pyne: The Federation of Bakers Committee focuses on food waste and packaging. We prioritize these two areas.
In the UK, there are taxes on packaging and regulations around the amount of recycled content that must be used, which are particularly relevant to us. Currently, we have to ensure that packaging transitions develop not only in step with our understanding of the world, but also as regulation changes. We also need to find ways to use as few packaging resources as we can, particularly if they are derived from fossil fuels. It’s the responsible thing to do for our environment, for society, for communities, as well as for business. Sustainable packaging is directly linked to a brand’s reputation now.
In addition to packaging, WRAP, a government-funded body, also looks at food waste. According to them, baked goods are one of the most wasted foods in households. There are many possible explanations as to why, one of them being that baked products are relatively cheap. If people don’t eat the crusts at the end of a loaf of bread – and many don’t, that’s food waste. People buying multiple products because they like variety for various occasions, or types of consumers, also leads to waste.
There are so many choices now that people are buying a whole range of items. Some 30 years ago in England, they would have bought a loaf of bread, but now everybody wants variety – in bakery choices and elsewhere. If you think about the bakery occasions, there are alternatives each time: a sandwich could be made with a wrap, with a pizza, or with a flatbread or a bagel. The diversity is brilliant; it will not go away, and it’s an opportunity for the industry. WRAP have the household survey research and evidence regarding waste, but we recognize that bakery products are wasted, given their variety and affordability.
The Federation of Bakers established an Industry Sustainability Strategy Working Group to bring the industry together, starting with the Baking Forum in 2023. The challenge was finding ways of working collectively, as an industry. The FoB is committed to working on an overarching sustainability strategy that can align the supply chain, with concrete methodology and accountability, while ensuring transparent communication. Sustainability is a non-competitive environment to support as an industry. The Industry Sustainability Strategy Working Group surveyed the industry, from manufacturers and ingredient suppliers to technology suppliers, engineering and service specialists, to identify the key areas we need to focus on.
“‘Regenerative agriculture’ is a good term, but I think we need to be careful not to claim to be doing something
completely radical and different than previously, which is trying to identify the best practices for growing wheat. The principle is ‘do the right thing’.”
Andrew Pyne, Chief Executive, Federation of Bakers
We shortlisted five main areas on which we would work: food waste, packaging and the circular economy, Scope 3*, Scope 1** and Scope 2***, and nature and the environment (including agriculture, focusing on wheat, from supply availability, breeds, and sustainable sourcing).
Here again, we talk about language. There is no commonly accepted formal definition for sustainable agriculture, so different companies have set their own. Criteria might be reducing the amount of pesticides, it might be using borders, or encouraging wildlife; but there is no single universally agreed definition of regenerative agriculture. There is a general agreement on some criteria that constitute responsible farming. When I talk to farmers, they now say call it ‘regenerative’ farming: they try to minimize their inputs, they try to look after their land because it’s something inherited from their family, they care for the soil, and they produce as good a crop as they can because that’s what they are selling, and their livelihood.
‘Regenerative agriculture’ is a good term, but I think we need to be careful not to claim to be doing something completely radical and different than previously, which is trying to identify the best practices for growing wheat. The principle is ‘do the right thing’; it doesn’t matter whether you do it because you are running a business, for the community, or for society, as a farmer or as a business person. Do the right thing! If we all work with that mindset, then we will all have a better environment and society, we will help each other, and we will have better products.
‘The right thing’ can mean many things; we have our moral compass and guidance. That is where we need to challenge ourselves.
Mihu: How does doing ‘the right thing’ balance with having a profitable business? And how is the UK’s industry changing?
Pyne: Looking at the latest developments in the UK, the image of profitable businesses looks interesting at the moment. The landscape is reflective of consumers’ transition from the types of products that we have historically consumed, mainly sliced, wrapped bread. Consumers now want more diverse products and are changing their habits. That does not necessarily mean they are eating less, because the value of bakery and morning goods is still increasing, for instance. Looking at other figures paints the full picture: the volume of sliced bread is in decline, but there is growth in other areas, such as specialty breads. And again, ‘specialty breads’ is quite a wide term, encompassing wraps, flatbreads, brioche, rolls, international breads, or breads with additions. These were not part of the mainstream eating habits 10 or 20 years ago; it’s mainly a recent purchasing shift. So, the UK is now transitioning from producing and consuming predominantly sliced bread to manufacturing a range of other alternatives, great bakery products, bread and viennoiserie.
It’s important to remember, however, that the dominant product on the UK market is still the wrapped loaf, all changes considered. We mustn’t overlook it, but we must relate to the changing consumer habits. Evolution is a good thing. Change here means a volume decline that, even if it’s as little as 1%, still stands for a lot of loaves on a very large scale.
Mihu: Science-based arguments are the most powerful in the conversation about the qualities of bread. How does the Technical Committee support that?
Pyne: Here, we can talk about supporting research on different aspects, including higher fiber wheat, for example. So, we know that fiber is a consumer journey. We’ve all read about fiber maxing and we know that consumers are not getting enough fiber in their diets. It’s an important part of a healthy diet and bakery already plays a considerable part in this regard. We’re looking into how we can play an even greater role in that. Plenty of new high-fiber products are being launched. How can we also help the researchers who are breeding plants with a higher fiber level within the plant itself? At the same time, breeds that are naturally resistant to natural weather occurrences and have a higher yield add to the balance. That’s worth looking into.
There’s always regulation being discussed, too; we look into all of those technical components as well.
“We use the term ‘technology and AI’ because AI is just one category of tools that technology might use. Technology can give us lots of data. AI can help us validate that data, interpret that data, and learn how to use it. But we mustn’t confuse it with the principle that the technology has to be there to provide good-quality information. AI is only as good as the quality of information that it can receive. ”
Andrew Pyne, Chief Executive, Federation of Bakers
Mihu: Speaking of things that are under development, what projects are on the FoB’s agenda this year?
Pyne: While we are still developing the 2026 priorities, we can also talk about communicating the importance of bakery. It’s often an open-book category, certainly within the government, or within regulations. We need to state that bread is a staple product and a healthy product. Remember, it’s an important source of fiber, calcium and protein. It provides vitamins and minerals to the UK diet. It plays a very important role in the diet, and we should remind people of that. We continue to talk about its benefits to a healthy lfestyle.
We will also accelerate our work on a sustainability strategy to establish how to help the industry in this transition period.
It takes time and investment. Changing an oven, for instance, is a very high cost to bear in one go, so such a change requires a solid plan and finding the right timing. It’s something to reflect on, especially now, when margins and profitability are key. This is why we’re seeing mergers happening, and why some businesses are looking to secure financing for investments that would help them transition into this new phase. Our members are working out how to invest in the next technology that will help them be sustainable and profitable, while providing consumers with the affordable, diverse products they seek, throughout this transition process.
Things in motion
Mihu: 2025 was a very eventful year in the UK’s industry. In March, the FoB held the second Baking Forum Conference – what were the key topics and how is 2026 envisioned, from your members’ perspective?
Pyne: We’re organizing the Baking Forum every two years, because we want to make sure that we can make progress in the areas that we discuss in the meantime. The 2025 edition was great, under the theme of sustainability and technology. Firstly, all the sponsors and exhibitors from 2023 wanted to be involved in the Baking Forum again. We had new exhibitors too, so we could clearly see the interest from the industry.
Sustainability was the big topic, and continued the theme from 2023. Some of the interesting technology conversation topics were around AI and what the implementation in bakery could look like. Many questions were covered: Where does one start on that journey? What does it look like? That’s what everybody’s trying to envision. We all know about the net zero aim; whether it be by 2050, or you’ve made your own company goals, how do you do it? Because if you’re a baker, you need to look beyond the bakery. It has to be a common effort, together with the milling industry, ingredient manufacturers, and all suppliers. We need the support of the industry. We are an energy-intensive industry, using both gas and electricity, but predominantly gas for ovens, to do that. How do we ensure that the infrastructure is there to supply green gas, green energy, whatever it may be? This is a good conversation. For example, we realize the UK infrastructure needs a lot of work to enable businesses to transition from gas to electricity for an oven (and make it affordable), for example.
There were some really interesting conversations, also including technology and using AI in production.
We were so successful that from the outcome, we made a donation of GBP 30,000 to the Bakers Benevolent Society. Profit is not our objective for this event, so we used it for a baking industry charity that looks after people who worked in the bakery industry, or trade allies. By bringing people together, we’ve also managed to support the bakery industry in this way.
Preparations for the 2027 event started in January this year. It would be great if you could come and join us next time and see it firsthand.
Mihu: I would love to! Thank you for the invitation. Speaking of AI, with the excitement around its opportunities, some studies show businesses have yet to see ‘meaningful returns’, as Forbes recently wrote, for instance. What does AI implementation in bakery look like today, in the UK?
Pyne: It all depends on what people talk about as AI. We use the term ‘technology and AI’ because AI is just one category of tools that technology might use. Technology can give us lots of data. AI can help us validate that data, interpret that data, and learn how to use it. But we mustn’t confuse it with the principle that the technology has to be there to provide good-quality information. AI is only as good as the quality of information that it can receive.
The sourdough code of practice
The UK Baking Industry Code of Practice (CoP) for the Labeling of Sourdough Bread and Rolls was published in 2023 by ABIM. ABIM started to develop the document and then partnered the FoB and the people manufacturing sourdough. “We joined the project to offer our support. We worked with our members to make sure that we have a code of practice that gives a clear definition of what constitutes original sourdough vs. what is made with sourdough. As long as the labeling is not misleading, you can have great products in both categories. Respecting the consumer’s trust is really important in communication here. That is what a code of practice should do and we’re really pleased to see that it is widely used in the industry as it was planned. It’s also important to remember that, like most codes of practice, it will evolve in time,” said Andrew Pyne.
A growing industry
Mihu: You also had new associate members join the FoB in 2025. Who is welcome to join and what partnership do you seek throughout the supply chain?
Pyne: We have two types of membership, full members – large plant scale bakers – and associate members, which is a more diverse membership category, including various suppliers to the bakery industry, from ingredient manufacturers to millers and engineering and technology providers, as well as related services.
We encourage our members to share developments within the sector and how they help the bakery sector continue to take those steps forward. Everybody plays a role in advancing. If everybody can bring a fraction of a gamechanging move, then with our 30 associate members, we can continue to have an evolving industry.
Regarding partnerships, we have had quite a long list, not only in our supply chain, but we also collaborate with other organizations.
As a member of AIBI, for instance, we are a part of the European Trade Association, and gain access to developments on European markets, and an understanding of regulatory challenges at a much wider level. Ideas travel very quickly: a new regulation from Italy, France, or Spain could soon be adopted in other markets, for example.
We also work with the Food and Drink Federation, the association representing the UK food manufacturers. We have similar issues, such as labor force challenges or international trade, so we can share expertise. Then we work very closely with the UK Flour Millers and with the Association of Bakery Ingredient Manufacturers (ABIM). The Food Standards Agency is also an important connection for expertise on food safety. And we work with WRAP on food waste and packaging issues. In addition, we’ve traditionally collaborated with Campden BRI. The research organization is helping our members with anything from product development to detailed analyses.
Mihu: On the topic of trading with and beyond the EU – in light of new and different packaging regulations, how do you see international trades within the industry?
Pyne: We discussed the EU deforestation regulation, EUDR; but we also have the UKDR to consider. The Packaging and Packaging Waste Regulation (PPWR) is also in our focus. We are very much paying attention to the regulations that are coming along as we are looking to minimize trading costs and regulatory burdens. We work with the FDF in this area. What we want, as UK manufacturers, is regulatory consistency and alignment.
On the other hand, let’s look at ingredient regulations around labeling. If we label ingredients in a way consumers can recognize them, it would solve a lot of perception issues. For example, ascorbic acid, which is used in bread, would be much easier understood by consumers if we labeled it as vitamin C. But the UK and European food law labeling says we must label it as ascorbic acid. That’s just one example; food law labeling doesn’t necessarily mean consumer-friendly.
We challenge ourselves to do the right thing regarding ingredients. That is why innovation from the ingredient manufacturers is really helpful to the bakery industry to achieve all the wonderful taste, texture and flavor characteristics we want, with the added benefits the ingredients may also have. Again, we have to look at labelling carefully: a ‘clean label’ is a good goal, for example, but having a totally clean label can also be misleading or counterproductive. Does clean label mean that our products don’t remain fresh as long as ‘regular’ products? If it means that, then do clean labels contribute to food waste? Does that make it counterproductive to the initial intent?
If we can make bread last for a few days longer than
24 hours, that meets the UK consumer’s shopping habits. We make sure it lasts for a few days in an entirely safe way. These are all part of the current conversation.
“The only thing fresher than a loaf of bread is the newspaper”
Mihu: Looking at market dynamics, some of the biggest events in Europe took place in the UK in 2025, starting with Associated British Foods acquiring Hovis. How would you describe the business environment at the moment in the UK?
Pyne: There are a number of recent mergers and acquisitions: Vandemoortele acquired Délifrance, which has a UK branch; then the Greencore and Bakkavor merger, which has just completed, will also change the UK landscape.
Mergers and acquisitions of large businesses may be nothing new, but they are a result of an understanding that you can create a more sustainable and profitable business between two companies combined, taking advantage of their synergies while removing some operating costs.
One of the key areas in doing successful business in bakery, in the UK and anywhere, is the logistics of delivery, which must be flawless. A lot of goods and products may be delivered to distribution centers, whereas bakery transport must function like clockwork. Mr. Brian Irwin, FoB chairman, had a great analogy about prompt delivery: “The only thing fresher than a loaf of bread is the newspaper.” Good logistics are a big component of having the day’s newspaper on sale at every outlet across the country, every day. Bakery must be the same, and it’s one of the elements that needs to be refined.
At the moment, there is recognized overcapacity. So we need to reassign some of that capacity. If you’re only making sliced bread, it will be harder and harder to make a sustainable profit in the UK going forward. Product diversity is key to giving consumers what they want. We’ve seen two food trends over the last year or two: fiber-maxing products with protein. From my perspective, this is an opportunity within the bakery industry because products are naturally high in fiber and they naturally contain protein, along with the other vitamins and minerals they provide.
We will also continue to see an evolution of more international-style breads. Consumers seem very open to trying something new within the bakery sector. Who would have thought that the likes of flatbreads would become so significant that they could generate (currently) the highest growth in the bakery sector, according to Kantar. Now, the question is, what’s next? Where will be the next source of great bakery inspiration? Innovation will keep driving the sector because there’s always going to be something new that consumers will have tried somewhere, or they want to try. The question will then be how to bring it to our UK market.
That means the industry has to evolve to stay relevant.
Speaking of bringing something new to consumers, we have seen that the growth of sourdough has been meteoric since COVID, in the UK. It’s no longer the preserve of home made bread or an artisan product; it’s fast growing in retail