In December the independent gift, loyalty, and membership cards supplier begun formal consultation regarding the potential closure of the Colchester production facility.

It said the consultation was necessary to review the poor profit performance of the Colchester site. During this process various options were explored, including potential closure, and it was ultimately determined that streamlining operations offered the best path forward.

Mark Kerridge, chairman of Woodberry Packaging Group, which acquired Incodia a year ago, said: “While this will result in some difficult changes over the next few months, collectively we believe it offers the best way forward for the business whilst saving as many jobs as possible.

“Throughout this process, our top priority has been the wellbeing of our employees. We've worked diligently to explore all possible options and ultimately, streamlining our operations was the most responsible decision to ensure the long-term viability of the Colchester plant.”

Incodia International said it would continue to provide its customers with products and services without interruption.

As of December, the Colchester site employed 49 people. It offers B1 litho and screen print as well as a wide range of finishing services.

Incodia told Printweek this week that, as part of the streamlining, the business will reduce its footprint at Colchester by 50% and redistribute some of its equipment to other sites within the Woodberry Group, while also utilising excess production capacity at these sites to continue supplying customers with the full range of products and services.

The company said that, given individual staff consultations are ongoing, it could not put an accurate number on the amount of jobs that could be affected at the site but said everything that can be done to minimise these losses is being done.

Formerly CPI Card Group UK, Incodia was established in 1979 and has a second site in Skelmersdale, Lancashire.

All other Woodberry Packaging owned sites were unaffected by the consultation and have continued to operate as normal. Woodberry Packaging is a subsidiary of Woodberry Capital, a private investment firm set up by former Americk Packaging owner Patrick Doran.

The group followed its purchase of Incodia with the acquisition of Precision Card Services (PCS) last summer.

Incodia International had sales of just under £13m in 2022.