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  1. ITV Report

Money back for Farepak customers

The headquarters of Swindon-based Christmas hamper firm Farepak. Photo: PA Images

Liquidators said today that former customers of Farepak are set to get back half of what they lost when the Christmas hamper business collapsed six years ago.

Business services firm BDO said they will make dividend payments to Farepak's creditors, including customers and agents, at the end of next month.

They confirmed that a payment of about 32p in the pound will be made, including the £8m that Lloyds Banking Group announced it was making available to former Farepak customers last week.

When this is added to the 17.5p in the pound given by the Farepak Response Fund charity, set up by the Government in 2006, customers will have received a total of approximately 50p in the pound, BDO said.

BDO they will aim to make dividend payments to Farepak's 114,000 creditors at the end of August, which will for them mark the end of the liquidation of Farepak.

The High Court previously heard that, following the firm's downfall six years ago, claims by customers and agents against Farepak amounted to about £37m.