A £15 million funding deal for a Bradford-based wool trading business will help ensure the future at one of the UK’s two remaining scouring plants and provide capital for investment.

The Standard Wool Group, at Odsal, Bradford, has used some of the cash to buy the freehold of the premises occupied by wool scouring and processing subsidiary Thomas Chadwick & Sons.

Standard Wool managing director Paul Hughes, who led a buy-out of the group in 2005, said buying the site secured scouring at Eastfield Mills, Dewsbury, which Chadwick has occupied since 1903. The company, which dates back to 1867, joined the Standard Wool group in 1987.

As well as providing wool processing for Standard Wool’s merchant business using state-of-the-art technologies to process 20 million kilograms of wool annually in an operation employing 55 skilled workers, Thomas Chadwick & Sons also supplies some of the industry’s other leading wool merchants.

The deal would also provide a secure platform for more investment.

It follows funding provided by PNC Business Credit as part of a £15 million funding package for Standard Wool.

Mark Andrews, general manager of Thomas Chadwick & Sons, said: “The purchase of the freehold of Thomas Chadwick & Sons’ processing plant provides us with the solid foundation on which we can continue to invest.

“Thomas Chadwick & Sons was the first UK adopter of ISO9001:2008 quality management accreditation in wool processing as well as ISO14001:2004 environmental management accreditation and we aim to remain at the forefront in terms of environmental standards.”

Mr Hughes said: “The investment is testimony to Standard Wool Group’s commitment to the British wool market and demonstrates the support of our funders who believe in the future of the business.”

As well as the UK, Standard Wool has operations in Chile, China and New Zealand and employs more than 150 staff. It exports wool to more than 30 countries. The origins of its Chilean subsidiary Jacomb Hoare & Co, date back to 1793.

In 2011 Standard Wool moved its head office to Trevor Foster Way, near the M606, leased from the Leo Group.

The company said the transfer from its base at Clifton Street, near Bradford City’s ground provided an improved working environment.

The UK’s other remainng scouring plant is in Bradford at Haworth Scouring, Birksland Street, and is part of the Cottingley-based Curtis Wools Group.