Christmas food orders in doubt as Farmdrop closes

Farmdrop, an online company that delivers food direct from farmers and producers, has closed.

Customers, unsure if they have been let down over their Christmas orders, have shared their disappointment online.

In an email to customers on Friday morning, the firm said that Thursday was the final day of deliveries - leaving many confused about Christmas.

It follows recent warnings from food firms that the UK is facing a worsening supply chain crisis.

Customer Kate Marfleet wrote on Twitter that she had been charged for a Christmas order which was supposed to arrive on Friday, while others sought advice about where else they could order in time for 25 December.

The BBC has contacted Farmdrop for a response.

In the email to customers, the firm said it had not been able to secure the "support and capital" needed to survive.

The firm wrote that they had aspired to have a great impact by "influencing change in the food system for the better".

"As of yesterday, it has become apparent that we have exhausted all possible options. It is with very heavy hearts that we must let you know that we will no longer be able to serve our cherished customers," it continued.

At the start of lockdown, Farmdrop saw a surge in demand and its orders doubled.

But despite this spike in sales during the pandemic, in 2021 the company reported pre-tax losses of £10m compared to £11m the previous year.

In June last year it secured £6m in funding from investors including Wheatsheaf Group, which is part of the Duke of Westminster's Grosvenor Estate as well as Atomico, a fund that was set-up by Niklas Zennström, the co-founder of Skype.

The company, founded nine years ago, had expanded its delivery range last year to a further 2.7 million houses, bringing the total to 7.1 million.