Pink Panthers wafer-maker Rivington hit by Brexit crunch

The maker of 'Pink Panther' wafers sold in British supermarkets will be the latest food producer to blame a Brexit crunch when it announces on Thursday that it has fallen into administration.

Sky News understands that the owner of Rivington Biscuits‎, which is based in Wigan, Lancashire, will blame the post-EU referendum slump in the value of sterling for drivng up input costs in recent months.

Almost 100 of the 125-strong workforce are understood to have been made redundant on Wednesday, less than a fortnight before Christmas.

FRP Advisory, which is handling the liquidation of BHS, the high street chain previousl‎y owned by Sir Philip Green, has been appointed as Rivington's administrator, according to sources close to owner van Delft.

The dire news for Rivington's workforce - which will see only 20% retained‎ to service ongoing supply contracts - will underline the lack of pricing power among smaller suppliers unable to pass on sharp increases in raw material costs.

Unilever (NYSE: UL - news) , the consumer goods giant whose brands include Marmite, sparked fury when it emerged last month that it was‎ demanding substantial price hikes from major supermarket chains.

Since then, the maker of Toblerone has reformulated the brand to reduce the amount of chocolate contained in each bar‎, while other major food manufacturers including Iglo Birds Eye and Pepsico (NYSE: PEP - news) have also blamed the fall in sterling for cost increases.

Van Delft is understood to have invested about £7m in Rivington's production capabilities since buying the company in 2009.

FRP declined to comment.