TROUBLED circuit board manufacturer Circatex has ceased trading after shedding 90 per cent of its workforce.

The company, in South Shields, South Tyneside, went into administration in January, putting 210 jobs at risk.

Yesterday, adminstrators at Ernst & Young confirmed the company had ceased to trade, following a lack of orders.

Administrators have now made almost 190 workers redundant since January, with only 21 staff kept on.

It had been operating at full capacity but orders started thinning out last month.

Charles King, of Ernst & Young, said: "A reduction in customer demand has resulted in this unfortunate situation. The factory has no further orders to complete.

"It will now be necessary to shortly begin the decommissioning of the plant, which will take about eight to ten weeks. There remains a highly dedicated and skilled workforce in the local area, capable of producing product of a quality that competitors struggle to match.

"Potential buyers are aware of the situation and they continue to show an interest."

He said Jobcentre Plus and South Tyneside Council were providing help to employees.

Circatex's demise was blamed on rising energy costs and a lossmaking contract.