A "triple whammy" of issues has forced the company behind the Manchester Food and Drink Festival to enter liquidation.
The business has been "impacted by the pandemic, sponsors retreating and cashflow issues" which left the directors "no other choice" but to liquidate the company.
It comes after the Manchester Evening News reported last week that the event would not be returning this year. It is understood that the awards will be held this year, however.
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A statement from the company said: "After 25 years we are pausing the festival this year and we're taking the opportunity to restructure the trading operations and regroup.
"It has been a tough couple of years for everyone but we are now focusing on plans for the future."
Manchester Food and Drink Festival Limited was formed in 1998 by Phil Jones and Christopher Tomlinson.
The company staged the annual food and drink festival in Manchester city centre which was one of the first urban, city-based events. It became a huge annual event in the city and was successful for many years leading up to the pandemic.
The festival brought a host of world-famous names to the city, with the likes of Gordon Ramsay, Jamie Oliver, Tom Kerridge and Michel Roux all having been guests in past years.
The event would usually take place in Cathedral Gardens with bars, food vendors and entertainment during the week, as well as satellite events all over the city.
Paul Stanley and Jason Greenhalgh of Begbies Traynor have been appointed as joint liquidators of Manchester Food and Drink Festival Limited.
Paul Stanley of Begbies Traynor said: "A triple whammy of the impact of the pandemic, sponsors retreating and cashflow issues meant the directors had no other choice but to liquidate the company. These are challenging times for anyone in the food, drink and hospitality sector in our region.
"Inflation in the cost of raw ingredients is creating major dilemmas for business owners in the sector who are becoming increasingly reluctant to continue funding ventures that simply aren’t generating enough revenue to survive."
Speaking to the Manchester Evening News, festival director Alexa Stratton-Powell said: "After 25 years of staging the Manchester Food and Drink Festival we will be taking a break in 2023.
"Creating the festival is a labour of love and as a small team we wanted to take a breather and regroup ahead of bringing the festival back in 2024."
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