UK Recycling Company’s Liquidation Leaves Workers Facing Uncertainty After Sudden Collapse

The UK recycling company Unimetals Recycling (UK) Ltd has entered liquidation, leaving 607 employees redundant after the closure of its network of sites across the country.

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UK Recycling Company’s Liquidation Leaves Workers Facing Uncertainty After Sudden Collapse
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The business, headquartered in Stratford-upon-Avon, operated 28 recycling sites before the liquidation process began. The case has also drawn attention after local authorities raised concerns about reduced recycling capacity following the loss of one of the company’s former facilities.

Liquidation Leaves Hundreds of Employees Redundant 

According to the Insolvency Service, Unimetals Recycling (UK) Ltd was wound up in the High Court on 25 November 2025, with the Official Receiver appointed as liquidator. All of the company’s sites were disclaimed on the same date.

The government agency confirmed that the liquidation resulted in 607 redundancies. Affected employees were provided with information about making statutory claims through the Redundancy Payments Service.

The company had previously taken over the UK operations of Sims Group Holdings in 2024. A statement from the company at the time of the liquidation petition said it recognised the impact on employees, suppliers, customers, creditors and regulators.

“We recognise how distressing this news will be for everyone connected to Unimetals Recycling (UK) Ltd, particularly our employees who have worked tirelessly over the last year since we acquired it from Sims to try to turn this business around,” a company spokesperson said.

The liquidation also revealed the scale of the company’s outstanding debts. According to a statement of affairs for Unimetals Group Limited, one of the related corporate entities, creditors were owed a total of £85,130,185.70.

Unimetals liquidation leaves 607 workers redundant as debts reach £85 million
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Former Sites Linked to Recycling Capacity Concerns

The impact of the company’s collapse has continued beyond the loss of jobs, with local authorities highlighting pressure on recycling services. According to reports from the Oxford Mail, Oxfordshire County Council called for the reopening of a former recycling facility in Newport, Wales, after temporary restrictions were introduced on accepting unwanted fridges and freezers at household waste recycling centres.

Laura Gordon, cabinet member for the economy and the environment at Oxfordshire County Council, said the council had written to the government with suggestions for addressing the situation nationally.

“Unfortunately, our capacity for treatment nationally has been reduced by a third and we have now had to introduce temporary restrictions at our household waste recycling centres to help manage a growing backlog as we seek to maintain the service for residents,” she said.

The council highlighted that fridges and freezers require specialist recycling because of the cooling gases they contain. Gordon said the reduction in capacity followed fires at two recycling sites and the bankruptcy of another operator.

A group of Liberal Democrat MPs also wrote to Emma Hardy, minister of state for environment, food and rural affairs, after the restrictions were announced. According to the Oxford Mail, the MPs said their constituents had faced uncertainty over collection arrangements and warned that safe disposal of fridges and freezers was at risk.

The financial details of the collapse show that Sims Group Holdings was owed £62,771,539.52, while a related Unimetals company was owed £22,235,746.55. Smaller amounts were listed for Deloitte and JP Morgan. The liquidation process has closed the company’s operations while questions remain around the effect of the lost recycling capacity on local services.

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