Britain''s carpet industry is fighting back in the wake of a slump in demand brought on by the switch to trendy fake wood flooring.

Sales of laminate flooring have soared as people try creating the minimalist look often featured in magazines and on DIY television shows.

The trend has hit carpet manufacturers, particularly in the UK which is already having to compete with cheap imports.

The UK''s largest carpet manufacturer, Carpets International, has been placed in receivership - the company blamed in part the move towards wood and laminate flooring.

The industry has decided to fight back with a £1m advertising campaign in an attempt to shake off the old-fashioned image some people have of carpet.

The Carpet Foundation, which represents leading UK manufacturers, says demand has been falling for at least a decade.

In 2001, 197 million square metres of carpet was sold in the UK compared with 212 million square metres in 1990.

At the same time there has been a big increase in demand for smooth flooring, of which around 70% is laminate.

In 1990, 22.8 million square metres of smooth flooring was sold in the UK . By 2001, this had risen to 59.9 million square metres

The number of people employed in carpet making in the UK has gone from 45,000 to 7,500 over the same period.

"The irony is that British carpet is the best in the world," said Michael Hardiman, chief executive of The Carpet Foundation.

"If you arrive at Hong Kong airport or when you go on the QEII you will be walking on British-made carpets."

The new advertising campaign, which starts on September 16, uses the "come back to carpet" slogan.

"We are trying to get people to have a rethink," said Mr Hardiman. "Carpets are not thought of as a contemporary product but from a practical point of view it cannot be beaten for luxury, comfort, warmth and noise.