The news comes at the same time as the announcement that Horner Brothers Paragon has rebranded to become fully part of the Paragon Group UK brand.
A statement from Paragon said: “As part of the bringing together of Paragon UK’s businesses, our print management service will be relocating to Rotherham and we are currently in consultation with our Birmingham workforce.”
An anonymous source told PrintWeek that the loss of Birmingham Service Point's Cunard contract had led to a loss in revenue and a number of employees may lose their jobs.
Service Point and Paragon were unavailable for any further comment on the matter at the time of writing.
Paragon acquired the main trade and assets of Service Point in 2014, just a week after Service Point was placed into administration, after its Spanish parent company, GPP Capital, PLC was also placed into administration.
In March, Service Point relocated its West Yorkshire branch from Castleford to Leeds. It has 24 branches across the UK.
Paragon invested more than £3m in digital printing equipment for Service Point last February, which at the time was the UK’s biggest ever order for Xerox Versant printers.
Established in Rotherham, South Yorkshire, in 1982, Horner Brothers was acquired by Paragon in 2013 but until last week was trading under the name Horner Brothers Paragon.
Paragon general manager Angus Campbell said: “The UK will now operate under a unified brand, Paragon Group UK, in order to simplify our message and provide all of our customers with access to the full suite of products and services that better fit the needs of our customers in today’s ever changing business environment.”
Paragon Group operates in 12 countries, employs more than 3,500 staff and turns over more than £400m.