"It was absolutely a hard decision, we are dealing with people who are fairly vulnerable and staff who have worked here a long time.
"The decision was immensely difficult but to keep it going put the whole operation at risk."
Four staff members will be made redundant - two of whom have been working there for almost as long as the service has been going.
The main cook, Gail Miller, has been cooking the meals for 16 years, and Sandra Johnston has assisted with cooking and delivery for 15.
"They do a wonderful job and the closure is no reflection on them."
Ms Miller said it was sad time for the staff but also for regular clients who had been using the service for a long time.
Mr Bathurst said the service would cease on December 19 and they were making arrangements for the Wairarapa District Health Board Meals on Wheels service to take on its clients.
He said the organisation would carry on its frozen Ezee Meals service as usual.
Mr Bathurst said there was a plus as some resources would be freed up, allowing them to open a drop-in centre next year. "Our emphasis is really shifting to that wrap-around service."
He said people could stop by for a cup of coffee but also access food bank services, life skills courses and find out about other agencies the Salvation Army could direct them to such as CareNZ, Alcoholics Anonymous and Workwise.
"There's really no communal space in Carterton, our hope is we can create a communal space where there will be other people around they can talk to, connect with and access support.
"We are hoping we'll make a big difference to people in the town."
Courses cover cooking, budgeting, growing vegetables and Mr Bathurst said they were also talking to the Wairarapa Women's Centre about offering their "Living like your Nana" course, based around skills society has forgotten.