Work on the £200 million Wakefield Trinity Walk shopping centre in West Yorkshire has been suspended after the developer’s bankers refused further finance for the scheme.
On Tuesday morning 185 workers at the Wakefield Trinity Walk shopping development being run by York-based Shepherd Construction stopped work.
A statement from Shepherd Construction said: “Despite continued and detailed negotiations with the bank, we have regrettably been left with no alternative than to take this line of action.
“For some time, outstanding payments due to us have not been met and the latest promise of payment by the [Anglo-Irish] bank’s head office in Dublin last week was also not received.
“We will continue to work with them to find a way forward and are very much committed to completing the project in the future.”
The Trinity Walk project was due to transform the Marshway area of the city centre.
Work started in September 2007 with major high street stores due to take up units in the development.
Wakefield Labour MP Mary Creagh said: “There have been problems financing the project since the Anglo-Irish Bank was nationalised in January this year.”