New boss cuts back

The new boss of Hill Station has already cut costs by £500,000 in his first week in the job by reducing the headcount and cutting back on consultancy fees.

David Lavelle, who led a management buy-in at the troubled ice cream firm last month supported by Acuity Capital, said: "This is a fundamentally good business with a great factory, staff and equipment. I see it as primarily an own-label business in the short- to medium-term, with the potential to drive a few of the brands - probably Loseley, Granelli and Yorkshire Dales in the longer term. The major customers [including Asda, Morrison, Iceland and Brakes] are very supportive."

Hill Station called in the administrators in mid-October after months of cash-flow problems. It is understood that former chief executive Cliff Carter had been negotiating with Acuity for weeks, but that Lavelle has invested significant amounts of his own money into the business.

Lavelle has 30 years' experience in the food industry.