Cazoo: What went wrong for the online used car retailer?

It is a dramatic fall from grace for the business, which surged in popularity during the pandemic and subsequent lockdowns.

Back in 2021, if you hadn't used Cazoo, you probably would have seen or heard of it. Its branding was splashed everywhere, with the company sponsoring Premier League football teams Aston Villa and Everton, as well as a host of other major sporting events like darts and snooker.

Cazoo was different to other more traditional car dealers - it was a tech business trying to shake up a well-established order.

The platform allowed shoppers to buy, part-exchange and finance vehicles entirely online. People could order while sitting on the sofa, and the vehicle would be delivered to their home in as little as 72 hours, with a seven-day returns policy.

Launched in late 2019, the pandemic massively boosted the firm's fortunes. As well as Covid restrictions meaning people could only buy second-hand cars online, a worldwide microchip shortage that disrupted new vehicle manufacturing also played into Cazoo's hands as used car prices soared.

The environment fuelled an astonishing increase in the company's value. When it listed on the New York Stock Exchange in September 2021, it was valued at a whopping $7bn (£5bn). Now, its valuation has dropped to just $30m.