The group, which posted a net loss of AUD60.9m (£38.3m) for the six months to December 2011, said that the move is part of a bid to achieve a 35% reduction in corporate costs for the next financial year.

Group chief executive Toby Marchant will relocate to the company’s Brackmills site in Northampton, along with the remaining global functions, which include finance.

Paperlinx executive vice president Dave Allen said the move "signals our commitment to reducing overheads and building a business that can deliver a sustainably profitable future."

A spokeswoman for Paperlinx confirmed that there would be some job losses but said that the closure of the Milton Keynes office would have no impact on frontline services.

She said: "With the closure of our corporate global office in Milton Keynes, there will regrettably be some redundancies.

"These are at a Paperlinx corporate level – they do not affect the UK business and will have no impact on frontline services."

Paperlinx announced in March that it would sell its Italian business, Polyedra, to European manufacturer Lecta for €45m (£37.5m), as part of its restructuring programme.

It hopes the restructure will provide savings of AUD61 (£40.9m) by 2014.