The failure of a bid for government funding towards the project to dredge the approach to the harbour has been hailed as the end of the scheme by the owners of Falmouth Docks, although this is refuted by the port's harbour commissioners.

It was revealed last week that the Cornwall and Isles of Scilly Local Enterprise Partnership (LEP) had decided not to support an application for Growth Deal funding from Falmouth Harbour Commissioners (FHC).

The LEP board did not feel that, as presented, there was a "sufficiently robust business case" to justify asking the Government to spend public money on dredging as part of this competitive process.

It was stated, however, that £19 million of potential port infrastructure projects in Falmouth have been put forward as part of the Growth Deal funding bid.

Reacting to the news of the rejecting of the dredging bid, John Syvret, chief executive officer, of Atlantic & Peninsula Marine Services Ltd, said: "This is a sad day for the Port of Falmouth workforce and the broader Falmouth and Cornwall Communities.

"It brings to an end an important project that has been at the heart of a growth plan for some 14 years and has incurred cost to A&P Falmouth of over £1 million. During this time the company has been in dialogue with three different council leaders, multiple chairmen of LEP boards, several MPs and two different Regional Development Agencies.

"This decision fails to recognise the importance of connectivity in the South West region, the importance of ports infrastructure to regional development growth plans, and the risks to maintaining many highly paid jobs in the sector directly and in the broader South West communities. Whilst on face value it is pleasing that two A&P projects are being considered further, it is unlikely that the business case will support the investments required without the principle dredging project being undertaken.

"We look forward to meeting with the LEP and Sarah Newton MP to explore the viability of any available alternative funding streams at the earliest opportunity, and very much appreciate their past, present, and future support and commitment to the long term development of the businesses within the port of Falmouth and their surrounding communities."

Responding to A&P's statement, Dave Ellis, chairman of FHC, said: “We’re sorry that it appears John Syvret sees this as the end of the project to dredge an improved approach channel into the port. We can understand his disappointment, which we share, regarding LEP’s decision but we also understand that the allocation of Growth Deal funding is a competitive bid process and the LEP had to base its decision on the information available and the circumstances relating to the project, at the time.

"This vital project cannot be delivered without the full commitment of A&P as owners of the docks' facilities. We’re therefore pleased that Mr Syvret continues to share our belief that dredging is fundamental to ensuring the future prosperity of the port and that it will bring many benefits to the local economy and tourism market.

"We’re also pleased that the project continues to receive strong support from public bodies, businesses and individuals, particularly Sarah Newton MP. We remain hopeful that another funding opportunity will arise and continue to stand ready to work with partners in both the public and private sector to take the project forward.”