Chief executive Patrick Headley said the group’s board viewed the polywrap market as suffering from “systemic market decline” and believed that would only quicken “as plastics become less and less desirable to consumers and the environment”.
Go Inspire Solutions (Kettering), formerly Eclipse 4DM, currently operates 24/6 on polywrapping. A 30-day consultation is underway over the proposed redundancies at the business, which had been loss-making.
“The final nail has been the Brexit uncertainty over the last three months, which really has affected that site. At the end of the day sometimes you have to take costs out,” Headley explained.
He emphasised that the group remained committed to the Kettering operation, and said that in future the facility would focus on high-speed personalised digital output and enclosing.
“We do a lot of security work in that factory and physical security has been increased with double doors. Statementing and regulatory work has been a growth area, so we are majoring on that in that plant.”
The two high-spec Sitma lines currently used for polywrapping will be sold.
“We are concentrating on our core output and will be left with a nice digital site in Kettering, which can also act as a second site for Leicester,” he added. “Business at the group overall is going well.”
The separate Eclipse and Connect businesses, also located in Kettering, are unaffected.
Go Inspire Solutions (Kettering) will also handle some overspill work from Leicester, Headley said, following some significant new business wins. Resulting spare space at the 3,440sqm facility is likely to be used by Eclipse.
The site runs an HP T230 inkjet web and has two CMC 9000 enclosing lines that were relocated from Go Inspire’s main Leicester facility, where the group made a £1.8m investment earlier this year.
Go Inspire Group had sales of £72.7m in its most recent financial year. It acquired the Eclipse group of businesses just over two years ago.