Plans to build an £81m Magistrates’ Court in Birmingham have been deferred as part of budget savings by the Ministry of Justice.
The new court was a key project in the £6bn regeneration of the second city's 160ha Eastside site.
The scheme, which would have housed 24 courtrooms, was due to anchor the £500m Masshouse development on Moor Street Queensway. Work was due to start on site later this year.
Justice Minister Jonathan Djanogly said: “Whilst the Government is determined to improve efficiency in the court service, like all public services, Her Majesty's Courts Service’ plans to build new facilities are dependent on the budget it is allocated.
“We have therefore decided to defer this project until we are sure it is affordable as we want to play our part in contributing savings to reduce the budget deficit.
“There is no question that a magistrates’ court in Birmingham is necessary which is why we will ensure the existing facilities at Victoria Law Courts continue to be maintained to provide this service.”
The Ministry of Justice is contributing £325m to the £6bn of cuts announced by the Chancellor last month.