TEN people have lost their jobs after a building company in Hampshire collapsed with debts of £370,000.

Rice Building Ltd, based at Whitefield Road, New Milton, officially went bankrupt last month after work dried up.

Southampton based insolvency specialist Fanshawe Lofts has now been commissioned to act as official liquidators.

Philip Brown, manager at Fanshawe Lofts, said: "Out of the £370,000 in debts, £140,000 of that was money put into the company by the directors to try to keep it going.

"The rest of the money was made up of trade and expense creditors and employees' claims."

Mr Brown added: "In the directors' report they attribute the failure of the company to an inability to agree final accounts, a general downturn in the industry and their inability to obtain, or a loss, of major contracts during 2004.

"I think they were hoping of

getting some substantial work which didn't come their way.

"The company is not being sold and they tried to finish off as many contracts as they could.

"There are still some retentions to be sorted which the main director, David Rice-Mundy, said he would like to do if possible."

Lio Balland, chairman of New Milton Chamber of Commerce, which represents local businesses, said: "Nothing is secure any more, even for a building company."