The company entered administration last Thursday 20 April 2023 as a result of cash flow difficulties stemming from its inability to operate at full capacity.

Situated in the Whitehill Industrial Estate in Glenrothes, the company boasts a 15,000-tonne per annum plastics recycling facility that employs 60 people. Despite its state-of-the-art equipment, the facility has struggled to achieve full production since its inception in September 2022.

The recycling plant focuses on transforming mixed plastics, including hard-to-recycle flexible food packaging like crisp bags and chocolate wrappers, into plastic flakes, pellets, and a novel product known as Ecosheet. The latter has potential applications in the construction and agriculture sectors.

Although substantial investment was made into the facility, cash flow challenges arose due to its inability to reach full capacity.

Ms Tait, restructuring director at Grant Thornton and one of the joint administrators, said: “While the business has invested heavily in state-of-the-art recycling equipment, it had not yet been able to operate at full capacity and this has resulted in cash flow challenges in recent weeks. The company was unable to pay its debts as they fell due resulting in our appointment as joint administrators.

“This is a disappointing outcome for all those associated with the company, and our immediate priority is to support the company’s 60 employees while we assess the company’s financial position and seek a buyer for its business and/or assets.”

The remainder of the Yes Recycling Group, which is headquartered in Buckinghamshire, is unaffected by the administration of the Scottish business.