A LARGE trailer manufacturing firm with a chequered history shuts down for good next week with the loss of dozens of jobs.

Seventy workers at Utility International, on the outskirts of Northallerton, North Yorkshire, are to be made redundant after the company went into voluntary liquidation. The 90-year-old firm, formerly York Trailers, has had its ups and downs in recent years but cannot overcome its latest setback.

Gerry Hunter, regional officer for engineering union Amicus, described the closure of the Yafforth Road factory as a tragedy.

"There has been a sequence of events leading up to this," he said. "All trailer manufacturers are suffering after a company called City Trucks, which was a truck rental organisation, went bust a couple of months back.

"The liquidators sold off 2,000 trailers on to the market at half-price and even quarter-price, and it has pushed Utility over the edge."

It is not the first time the company has faced problems. In March 1997, when it was York Trailers, management laid off the entire staff because of a lack of orders.

A year later, it was taken over by US-based Utility, which began an extensive programme of upgrade and expansion as part of a £7m investment in the company.

Eighty jobs were created in April 1998 on the strength of a £2.5m order which, together with other major contracts, increased output to its highest level since York Trailers went into receivership in 1991 with debts of £30m. It was later bought out by businessman Duncan Wordsworth.

Mr Hunter said many employees had already left, but several were staying on to complete work that had been in progress before the announcement. It will finally close on Friday.

"The knock-on effect from this could be great and it is a real tragedy," he said.