CAMPAIGNERS have conceded defeat in their three-month battle to stave off a cement works closure which will deal a shattering blow to the economy of an isolated dale.

Lafarge Cement UK's announcement yesterday that production will finish at its Blue Circle Weardale Works in Eastgate, County Durham, on Friday, August 9 dashed hopes of a rescue deal.

The French-owned company, the world's biggest cement maker, told its 147 workers of the plant's demise in January. Yesterday, they were given a closure programme for the 37-year-old works, starting with the shut down of its two kilns.

From August, only 50 people will be left to send out any materials left and start clearing the site, the rest either leaving or transferring to jobs in the firm's other UK operations.

Lafarge hopes to have new depots at Seaham and Carlisle operating by September and October. Weardale staffing will reduce, leaving only ten to manage the transfer of equipment, demolition and site restoration through next year.

The announcement dismayed workers, who had taken their fight to save the plant to Prime Minister Tony Blair. It came hours before they were due to meet union bosses and Euro-MP Stephen Hughes.

North-west Durham MP Hilary Armstrong, the Government's Chief Whip, and County Councillor John Shuttleworth learned yesterday from the Office of Fair Trading that Lafarge had not contravened competition laws either here or in Europe by shutting Eastgate and refusing to sell to a competitor.

Ms Armstrong said: "I don't think there is anything we can do now that can hold up the determination of the company to close the Weardale plant.

"What we must do now is to pull together to find an alternative economic future for the dale.