A TOTAL of 430 people will lose their jobs after the collapse of a major Newport firm.

That's according to administrators for Rowecord Engineering Ltd, who say that 80 people will be kept on to finish off work at the company that built the roof of the Olympic aquatic centre.

Alistair Wardell, from administrators Grant Thornton, pinned the blame for the collapse on the economic climate, and the firm losing money on contracts.

His comments came after Andrew Hoppe, managing director of the company, told the Argus earlier this month that some work had not been as profitable as it should have been.

Rowecord had built the roof at the London Olympics Aquatic Centre and helped build Newport Footbridge, Cardiff City Stadium and Parc y Scarlets in Llanelli.

It said on Friday that it had exhausted every option to continue.

Mr Wardell told the BBC that a contract to build the new blast furnace at Tata Steel's Port Talbot steelworks had overrun by more than three months, which led to a dispute with Tata.

However he added: "I think certainly, in the short term, that amount of cash that was not available to it has partially precipitated the collapse of the business, "We're talking about a large sum of money."

However he said whether the firm was viable or not was a separate question, and couldn't say for certain whether the business would have survived despite the problems with Tata.

A spokesman for Tata Steel said there was an overrun, which had caused difficulties on all sides.

But he added that the issue was settled and that the firm had been offered further work.

Separately Mr Wardell said that the collapse was likely to have an impact on a number of other companies along the M4 corridor, that up until now have been suppliers to Rowecord.

In a statement he said the administrators were to explore which, if any, parts of the business can be salvaged and whether any jobs can be saved.

The company had turned down an offer of help from the Welsh Government before its collapse last Friday.

Bryan Godsell, regional coordinating officer for Unite which represents around 150 of the firm's staff, said he was hopeful the administrators can save all or part of the business.

"We're extremely disappointed," he said. "We're some what surprised that the company haven't taken that up."

A statement from Welsh business minister Edwina Hart is expected in the Senedd tomorrow.

* Is your business affected? Call David Deans on 01633 777248 or email david.deans@southwalesargus.co.uk