The Northamptonshire-based firm invested the money in a new 500m sq secure manufacturing unit.

According to Lonsdale sales director Neil Kipling the move is part of its on-going strategy to expand into other markets. The confidential print division will produce certificates and vouchers for the education sector.

"We began as a business forms company but for the last few years, as that market has declined, we've moved away," said Kipling. "The move to confidential print is on top of our expansion into integrated card and label production  and will grow the business by 20%."

He added that Lonsdale would be looking to boost its 100 staff. The firm will also transfer some of its existing staff into the new unit. Digital, laser and fulfilment equipment will also be installed in the unit in Wellingborough, which will take new orders in the next six weeks.