A Norfolk town faces losing £1m in funding to improve its high street area amid a year-long standoff between two councils.

Wymondham has been set to receive the funding from South Norfolk Council and the town council to spend on making the centre more attractive.

The sum consists of a £250,000 contribution from each authority and nearly £500,000 from the sale of the former council offices in Middleton Street, which were owned by South Norfolk Council.

However, the funding pot could be lost entirely because the town council has yet to agree the arrangement, and councillors do not believe they can afford their contribution.

Suzanne Nuri-Nixon, Wymondham mayor and council chairwoman, said: "We simply don't have £250,000 floating around. It would have to be taken from other earmarked funds.

"If we agree to this, then some of our own projects will suffer. But if we reject it, then there could be no investment at all."

Eastern Daily Press: Mayor and chair of Wymondham Town Council, Susanne Nuri-NixonMayor and chair of Wymondham Town Council, Susanne Nuri-Nixon (Image: Suzanne Nuri-Nixon)READ MORE: Parish chairman BANNED from village shops over his 'incendiary' second homes comments

The town council will meet next week to decide whether to put in their contribution.

If they do not, the town faces losing the investment altogether, because it will breach the match-funded arrangement.

South Norfolk Council has already said it will reduce the amount given from the proceeds of the office sale by £100,000 because of the town council's delays and is warning that it could take the offer off the table altogether.

Eastern Daily Press: Wymondham could miss out on the investmentWymondham could miss out on the investment (Image: Denise Bradley)Ms Nuri-Nixon said her council felt "backed into a corner".

She added: "We've been kept in the dark so it has been hard to make a decision. I think the manner of communication has been really poor and we've now been given an ultimatum."

Under the original plans, a total of around £1m would be used for 'public realm improvements' to make the town centre more attractive, although it is unclear exactly how this money would be spent. 

South Norfolk Council leader John Fuller said the inability to reach an agreement was a "source of enormous disappointment".

Eastern Daily Press: John Fuller, leader of South Norfolk CouncilJohn Fuller, leader of South Norfolk Council (Image: Newsquest)He said: "This was a time-limited opportunity to work together, and we need to see that this is a deliverable project. We need to break the deadlock.

"Our offer is still on the table, but the town council needs to pick it up. I do hope that they will come to their senses, and work with us on this."