Aqua Park Suffolk, the company behind the inflatable obstacle course at Alton Water, has confirmed that it has gone into liquidation.
Last month the company announced that the course would be shut permanently after dangerous blue-green algae reappeared at the site and confirmed that it would not be re-opening in 2020.
It was the second year in a row that the algae had been spotted at the reservoir.
A spokesman for the company confirmed on Wednesday that the company had now gone into liquidation and said that liquidators were in the process of contacting customers who had been booked onto the course.
One customer was told that she would have to travel almost 90 miles to Rutland Water in order to experience a similar water park.
Cynthia Gayton, 63, from Ipswich, who had been looking forward to taking her grandson to the aqua park for his 12th birthday, was furious at the news.
"I was told it was either accept I could go to Aqua Park Rutland or join a list of creditors because the business was going to be liquidated.
"I couldn't believe it, I was being told to drive 87 miles with my autistic 12-year-old grandson, which would mean spending the night in a hotel, costing even more money.
"I'm not in a position where I can afford to lose £40.
"I don't think I'm the only one who's affected by this either, there must be more out there."
She added: "My grandson is devastated, he's been sobbing his heart out because we go swimming quite a lot and he wanted to go here too.
"I think we have been treated appallingly."
An Anglian Water spokesman said:"We have recently been informed that Aqua Park Suffolk has gone into liquidation.
"The company previously used the Alton reservoir to set up the Aqua Park which unfortunately was stopped earlier this summer due to high levels of blue green algae being found in the water.
"It was necessary for us to stop all activity on the water at the time for the health and safety of visitors.
"The Aqua Park is an independent company and is not a part of Anglian Water, if you have any questions regarding reimbursement of tickets for the Aqua Park in Suffolk please contact them directly."
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