Iceland closed its main international airport and cancelled domestic flights today as a powerful volcanic eruption sent a plume of ash, smoke and steam 12 miles into the air.

Activity has increased at an erupting Icelandic volcano, causing an ash plume to rise more than five miles into the air, a geologist said today.

Iceland’s latest volcanic eruption is coming to an end and with it the unexpected tourist boom that lifted the recession-hit country’s financial fortunes.