One of Newton Abbot's longest established firm of solicitors is the latest to fall victim to the recession. Douglas Pidsley Roberts, in existence for 128 years, has been closed down with a loss of ten jobs. Its principal, Warren Douglas, has been declared bankrupt.

Mr Douglas, 41, sole practitioner for 12 years, blamed the failure on the collapse in the housing market.

'The property market has been going downhill since September 2007. In the last six months it's really fallen off a cliff.

'It is very disappointing, particularly disappointing that we couldn't arrange a handover to a local firm because of regulations. The recession is biting and biting hard. Obviously we are very sorry for the clients.'

Clients calling at the Union Street office were greeted last week with a locked door and a notice directing inquiries to Foot Anstey solicitors, Exeter.

Foot Anstey have been appointed as intervening agents by the Solicitors Regulation Authority and will be safeguarding files and dealing with urgent matters and will be writing to all clients individually.

Mr Douglas said that they relied for more than half their business on conveyancing.

'Over 80 per cent of that work has disappeared and very rapidly.'

Staff only received half their salaries in January. Mr Douglas said that under the bankruptcy rules, they would be entitled to the remainder. He declined to put a figure on the firm's debts.

When it became apparent last month that the firm could not continue he approached Harold Michelmore and Co solicitors, to see if they could take over the business.

'They were very willing and happy to look at the prospect of how they would do that but under the transfer of undertakings they could face heavy liabilities as regards staff and become responsible for insurance on previous work carried out.

'We approached the Solicitors Regulation Authority to see if I declared myself bankrupt whether they would allow a local firm to take it over but they said no to that.

Michael Freeland partner of Harold Michelmore and Co said: 'We are all very sorry because he is an excellent lawyer. It is just extremely hard times that have caused it.'

A spokesman for the Solicitors Regulation Authority appealed to clients not to contact Foot Anstey unless absolutely necessary.