Bluthal was born in Jezierzany, Galicia, Poland (now in Ukraine), to a Jewish family. Due to anti-Semitism in Poland he emigrated to Melbourne, Australia, with his family in 1938, at the age of nine, and was educated at Princes Hill Central School in Carlton North and University High School Parkville. He began his acting career in Melbourne’s Yiddish Theatre and subsequently studied drama at the University of Melbourne. In 1949 he travelled to Europe and the United Kingdom, during which time he appeared in pantomime. He worked in repertory theatre in Melbourne and appeared in drama on Australian radio, as well as television productions, including Shell Presents and Three’s A Crowd. He also devised and produced Gaslight Music Hall, in which he starred.

Bluthal married actress Judyth Barron in 1956. Together they had daughters Nava and Lisa, but later separated. Barron died in 2016.

Bluthal had worked with Spike Milligan before leaving Australia, appearing with him in a 1958 Australian television special, The Gladys Half-Hour. On relocating to Britain, he appeared as several characters in Milligan and John Antrobus’ stage play The Bedsitting Room, which opened at the Mermaid Theatre on 31 January 1963. He also worked extensively with Milligan on the television series Q and its radio counterpart The Milligan Show. He previously worked with Milligan in the Australian radio comedy series The Idiot Weekly and The Omar Khayyam Show. Bluthal was able to produce many comedic and imitative voices, like Milligan’s radio colleague Peter Sellers, and he was used somewhat like Sellers in Milligan’s later work.

Bluthal moved to the United Kingdom permanently in 1960 and appeared in Citizen James in 1960 for BBC television, and the long-running ITV comedy series Never Mind the Quality, Feel the Width (1967–71) in which he played Manny Cohen, a Jewish London tailor in business with an Irish Catholic tailor, Patrick Kelly, played by Joe Lynch. Also in the 1960s, he provided the voice for Commander Zero in the television puppet series Fireball XL5 (1962–63).

Bluthal worked extensively in British theatre. In 1960 he played Fagin in the original production of the musical Oliver! in the West End (replacing Ron Moody). His appearances at the National Theatre included Tales from Hollywood, Entertaining Strangers, Peter Hall’s production of Antony and Cleopatra (with Judi Dench and Anthony Hopkins), Yonaadab, The Tempest, The Winter’s Tale, and Cymbeline.

His other television appearances include the Sykes and a… episode “Sykes and a Bath”, broadcast on 25 January 1961, Hancock (“The Radio Ham”, 1961), The Avengers (1965), The Saint (“The Happy Suicide”, 1965), ‘Allo ‘Allo! (1984), Minder (1985), Bergerac (1990), Rumpole of the Bailey (1991), Inspector Morse (1993), Lovejoy (1994), Last of the Summer Wine (1995), and Jonathan Creek (1997), as well as appearing as Major Cheeseburger in The Goodies’ episode “Clown Virus”. He also replaced Ronnie Stevens in the Australian comedy/satire series The Mavis Bramston Show for the second half of 1966 and starred as “Enzo Pacelli” in the ABC-TV comedy television series Home Sweet Home (1982-3). Bluthal also appeared as Leonid Krasin in episodes of the Thames TV series Reilly, Ace of Spies (1983). and “Chalky”, a hospital patient, in the episode “I Gotta Horse” of the comedy television series Doctor Down Under (1979) the Australian series of the British television series syndicated internationally as Doctor in the House, which also starred Robin Nedwell as Dr. Duncan Waring and Geoffrey Davies as Dr. Dick Stuart-Clark).

He also appeared in the 2004 film Love’s Brother and in the 2016 Coen Brothers film Hail, Caesar!

His final appearance was with his daughter Lisa Bluthal in her 2018 short film By Any Other Name, a comedy about a daughter dealing with her father’s Alzheimer’s.

Bluthal’s agent confirmed on 16 November 2018 that the actor had died, aged 89, in New South Wales, Australia. Following his death, fellow The Vicar of Dibley actor Dawn French said “Tons of happy laughs remembered today. Cheeky, naughty, hilarious. Bye darlin’ Bluey.” On 22 December 2018, BBC One aired The Vicar of Dibley December 1996 episode “The Christmas Lunch Incident” with a caption at the end remembering Bluthal’s death.