A number of ticket holders for the cancelled Wide Skies and Butterflies festival will miss out on full refunds, the insolvency company for the collapsed organiser has confirmed.

Carter Clark, which has taken insolvency responsibility for SMS Event Production Ltd, said there were "insufficient funds" to repay all creditors/ticket holders.

It comes just days after the Raynham Estate, where Wide Skies was due to be held, said all fans "should receive a refund with no issue".

A spokesman for the estate said their understanding of the situation had changed since its previous statement.

The latest update will serve as further disappointment to revellers, whose plans were already in tatters after the new entertainment extravaganza was called off.

SMS Event Production Ltd, the organiser, has ceased trading and will enter liquidation on July 21.

Wide Skies' cancellation was blamed on an "unprecedented rise" in production costs and lower-than-expected ticket sales.

The Raynham spokesman added: "Our post was made last week when we had been led to believe that this [there being no issues with full refunds] was the case.

“We have now spoken at length with (ticketing company) Festicket and Carter Clark, which is now handling the insolvency process. All enquiries are to be directed to Carter Clark's office.

“Raynham was the hired venue for the festival, not the organiser, and we have sadly also incurred significant costs as a result of the cancellation."

Raynham also said in its original statement that Festickets would protect ticket holders' money.

However, a spokesman for Event Genius, a subsidiary of Festickets, said the company was an agent for the organiser and that fans were contracted with SMS.

They added: "Whilst we have to leave the insolvency practitioner to manage this process, we will assist customers as best we can."

In an email to customers, Carter Clark has suggested that customers who paid for a ticket via credit card should contact the card company, who may be responsible for providing refunds.

it said that obligation was unlikely to extend to those who paid via debit card.

Customers with additional questions can call Carter Clark on 0208 5241447 or email julie.jackson@carterclark.co.uk.