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Melt butter in a large saucepan over medium heat. Add leek and cook for 3 minutes or until soft (do not brown).
Add potato, water, ham and parsley and bring to the boil. Reduce heat and simmer for 1 hour or until ham is soft. Remove ham and transfer to a plate to cool slightly. Remove soup from heat and set aside.
Shred the ham roughly. Remove parsley stalks from soup. Using a hand blender, process the soup until smooth. Return 3/4 ham to soup and return pan to the heat for 2 minutes or until soup is warmed through. Season with salt and pepper. Ladle soup between serving bowls and top with remaining ham and chives. Serve immediately.