[BNM] SEO - UK or US Servers?

[Ali]

Hi SEO folk

I host a site for a client on a server in the US - we moved his large site there from the UK to take advantage of better bandwidth and server specs and also to account for the fact that his business was now trading with the american market. He changed the main domain on his site to .com from .co.uk and has subsequently lost his google.co.uk listings for the .co.uk domain - I posted about the use of 301 vs 302 with regard to this.

Now his SEO people are telling him, in order to get listed on google.co.uk again, to move the site back to a UK server whilst retaining the .com comain. Does this exercise have merit? Does the location of the server have an impact on the localisation of listings? The business and the domains are registered to a UK address.

Any advice welcome!

BTW this is not a site I am working on merely hosting on one of my reseller accounts but as I am being asked to migrate the site again I thought I ought to check with you guys first whether this is a waste of my time and his money!

Ali