A leatherworks firm in Bloxwich which produced belts for high street giant Next has closed with the loss of all 70 jobs, it emerged today.

George Stuart went into administration earlier this summer after a slump in trade which was blamed on the volcanic ash cloud.

Half the workforce was axed in June but there were hopes of finding a buyer to revive the fortunes of the Central Drive firm.

But the company has been forced to close – the latest blow to the town’s leather industry.

Administrators Ernst & Young confirmed today: “The 70 staff have been made redundant. Unfortunately we have been unable to sell the business as an on-going concern.”

The firm imported most of its leather and buckles but was unable to get them when flights were stopped by Iceland’s volcano.

Bosses said the disruption was a major factor in their demise during what was already a difficult trading period.

George Stuart started in 1987 as a specialist manufacturer of high-quality leather accessories. It grew steadily, becoming a leading supplier to retailers in the UK and the USA.

When the company went into administration workers were called in for a meeting where it was announced 35 were being made redundant there and then.