Hull City Council's Liberal Democrats have condemned a decision by Homes England not to fund the 133 home Dane Park Scheme.
The council's Lib Dems have called upon the government agency to immediately reverse the decision and have criticised the Labour Government's approach after the party promised to 'get Britain building again'.
The Council’s Portfolio Holder for Housing and Regeneration, Cllr Paul Drake-Davis denounced the lack of funding as "short-sighted and unfair."
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Cllr Drake Davis said: "I am furious with this decision of Homes England not to fund this vital housing scheme in North Hull.
He also added: "The Labour Government have said that they want to rapidly increase the house building programme in this country and at the same time their agency tasked with doing precisely this withdraws its funding.
"The last Conservative Government ignored Hull and now is being let down by Labour. We need a responsible Government to listen to our concerns and help us deliver what the people of Hull want, not one that pulls support for affordable homes."
A spokesperson for Homes England said: "The Agency has never formally committed any Affordable Homes Programme funding to the Dane Park scheme.
"It is working closely with Hull City Council to understand their housing growth ambitions and the delivery of new affordable homes.
"Due to existing commitments and the Affordable Homes Programme being in its penultimate year, the Agency is not in a position to fund Dane Park at this moment in time.
"However it will continue to work with the Council to understand funding and delivery timescales on this site, and others in the city, so it is in the best possible position to support Hull to take up future funding opportunities."
