A popular brand of tea found in UK shelves for 120 years could disappear after the company applied to appoint administrators. According to the BBC, Typhoo Tea has been struggling with falling sales, growing losses and increasing debts.
The company has filed a notice at court which would allow it to appoint administrators, Typhoo’s chief executive Dave McNulty told the BBC. Typhoo has been battling problems for some time and saw difficulties worse when its factory was ransacked last year.
Trespassers broke into the site in Moreton, Merseyside. Mr McNulty said: “Given the delicate nature of this we are not in a position to comment any further.” The company plans to appoint EY to handle the administration process.
Mr McNulty added: “This does not mean we are in administration.” Typhoo’s losses widened to £38m last year as sales fell to £25.3m from £33.7m.
There were exceptional costs of £24.1million last year – including the break-in to the former plant in Moreton. Typhoo said: “During August 2023, a group of organised trespassers broke into the Moreton site and occupied it for several days.”
It said trespassers caused “extensive damage” and a lot of tea was rendered unusable. It was unable to fulfil some orders to customers.
Typhoo primarily offers black tea, typically used for making classic English tea blends. Over the years, Typhoo has expanded its offerings to include decaffeinated tea, green tea, and specialty teas.
Typhoo was created by John Summer, a Birmingham grocer. The name “Typhoo” comes from the Chinese word for “doctor” (tāifú), reflecting the brand’s original health-conscious marketing approach. John Summer began selling pre-packaged tea at a time when tea was usually sold loose. This made Typhoo one of the first British brands to sell tea in ready-made packets, which was seen as a convenience and an assurance of quality.
Summer’s sister reportedly suffered from indigestion, and he developed Typhoo Tea to help alleviate her symptoms. This health-focused origin helped establish the brand’s early reputation. Typhoo became a household name through creative marketing. The brand was one of the first to offer free collectible gifts in tea packages.
The brand is now sold internationally and is considered a symbol of British tea culture. The brand’s iconic red packaging has been a part of its identity for decades.