THE company that built the Angel of the North was placed in administration last night, with the immediate loss of 38 jobs.

But more than 50 further jobs are at risk unless Hartlepool Fabrication can find a buyer.

Administrators called in by the company said 38 redundancies would be made immediately, but there were hopes of finding a buyer to save the remaining 55 jobs.

It is the second time the company has gone into administration in just two years.

Derek Simpson, general secretary of the Amicus union, said the Angel of the North, situated just off the A1 near Gateshead, would now become a monument to the wilful destruction of manufacturing in the region and across the UK.

He said: "It is symbolic that the company that built the Angel of the North has succumbed to the haemorrhaging of manufacturing jobs.

"Industrial areas like the North-East have been hardest hit by the loss of quality, well-paid, full-time jobs.

"We need stronger employment laws and investment in skills and new technology if we are to staunch the flow of good jobs from areas like the North of England.

Gareth Roberts, who has been appointed administrator, said: "I regret that following completion of a large, loss-making contract it has been necessary for the company to appoint administrators.

"I have informed the employees that the company must make 38 redundancies immediately, but we intend to trade the business on and are confident that we will find a buyer to save the remaining 55 jobs."

Hartlepool Fabrication beat national competition to win a £5m contract for the Burlington Gas Project at Barrow-in-Furness, Cumbria last year.

The contract with Costain Oil, Gas and Process was hailed as a major turnaround for the company, which went into administration last year before being bought by South Shields-based Tyne Tube Services.

The combination of the two companies helped win the Costain contract.

It was hoped the deal would lead to more work, which would further secure the future of Hartlepool Fabrication.

The 200-tonne, 20-metre high Angel of the North sculpture, designed by artist Antony Gormley, was constructed by Hartlepool Fabrication at a cost of £800,000.