![Pinterest](https://pinterest.com/pin/create/button/?url=https://uknews.evprotec.com/british-covid-testing-start-up-collapses-as-demand-drops/&media=https://uknews.evprotec.com/wp-content/uploads/2022/11/TELEMMGLPICT000274462682_trans_NvBQzQNjv4BqH4D-jx1ezwmwmru7Y7fiE_YJNoXobu7XZEgn7aaogXE.jpeg&description=A government-backed biotech developing Covid tests has crashed into administration as pandemic-related spending fades. Vatic Health, which received government grant funding early in the pandemic, appointed administrators this week after battling to raise cash, filings on Companies House reveal. Vatic struggled to find new investors to stay afloat amid waning interest in Covid-19 tests. The company was founded in 2019 as a diagnostics business and pivoted to coronavirus testing when the pandemic hit. It raised millions of pounds from backers including Deliveroo investor Hoxton Ventures. Vatic is understood to have been unable to get speedy approval from the FDA for its Covid tests, which were being developed to detect how infectious sufferers were. It promised this would help to end the need to self-isolate with Covid. Speaking to The Telegraph last year, Alex Sheppard, co-founder of Vatic, said: 'It's all about staying open, and we think we're at the vanguard of new technologies coming to the fore which can help us to stay open. 'We're at a point where we have to restore the liberties and freedoms that were lost for almost two years now. This is a more suitable technology for that.' Since then, demand for Covid tests has plunged, as self-isolation requirements have lifted and countries have reopened, following the roll-out of vaccines. Vatic had been hoping to produce 100 million tests every year under a deal with London-listed test maker Abingdon Health. In Abingdon's most recent trading update, it said it was continuing to work closely with Vatic "as they progress their US FDA Emergency Use Approval". Menzies has been appointed as administrator Vatic. It did not respond to requests for comment. Vatic did not respond to requests for comment. The start-up was part of a group of start-ups that received government grant funding early in the pandemic to bring its Covid test to the market as quickly as possible. The Government poured £40m into schemes "to fast-track t){kind=link}
Vatic Health received government funding early in the pandemic
A government-backed biotech developing Covid tests has crashed into administration as pandemic-related spending fades.
Vatic Health, which received government grant funding early in the pandemic, appointed administrators this week after battling to raise cash, filings on Companies House reveal.
Vatic struggled to find new investors to stay afloat amid waning interest in Covid-19 tests. The company was founded in 2019 as a diagnostics business and pivoted to coronavirus testing when the pandemic hit. It raised millions of pounds from backers including Deliveroo investor Hoxton Ventures.
Vatic is understood to have been unable to get speedy approval from the FDA for its Covid tests, which were being developed to detect how infectious sufferers were. It promised this would help to end the need to self-isolate with Covid.