A FACTORY in Blaenau Gwent has been forced to close with a loss of 25 jobs after the company went bust.

Avelindberg Limited, on the Sirhowy Industrial estate in Tredegar, notified workers that because of financial difficulties the jobs had to be cut with immediate effect.

Gareth Jones, former manager of the factory, said: "We had a phone call from head office in Essex yesterday telling us we had to go straight away.

"This is a big blow to the area because these were well paid specialised manufacturing jobs and it would mean re-skilling for the workforce to find other work."

The bad news comes as it is revealed that average earnings in Blaenau Gwent are the lowest in the country.

Research by Barclays Private Clients found that those living in Blaenau Gwent in South Wales earn the least, getting paid an average of just £16,209 a year.

It's less than half earned by Kensington and Chelsea residents. The average annual income there is £36,000.

Blaenau Gwent AM Peter Law said: "Poor wages all flow from the economic base of the community and what we need in Blaenau Gwent is economic stability."