A council insists it will press on with controversial plans to redevelop Great Yarmouth's historic market place – despite a £1.5m bid for government funding failing.

Great Yarmouth Borough Council revealed proposals for the £2.7m revamp last month which would have seen 36 new single and double stall units installed under a new 'architecturally-striking' market canopy.

The redevelopment was met by fierce criticism from stallholders who accused the council of showing a lack of compassion and 'messing with their livelihoods'.

In a statement Great Yarmouth Borough Council said: 'We have received notification that our £1.5m bid to the Coastal Communities Fund, to invest in improving the market place, has not been successful.

'While this is disappointing, we continue to explore other avenues for external funding and to engage on an individual basis with traders.'

A report from council officers on any updates is due to be presented to the policy and resources committee later this month.

Last month the borough council announced a decision on the design of the redevelopment would be delayed to allow further consultation with market traders. One to one discussions with stallholders started this week.

Council leader Graham Plant said the council will continue its meetings with traders and hopes the failed bid will have little impact on the timescale the borough council has put in place for the redevelopment.

He said: 'It is just one of those things, opportunities like the Coastal Communities Fund become available and we put forward our bid.

'Unfortunately we have not been successful this time but there are plenty of other grants we will be able to apply for.

'We will continue to meet with stallholders to get an understanding of their individual needs so when the time is right we can press ahead with the redevelopment.

'I am confident we will get the funding necessary for the market place redevelopment to go ahead but it is very competitive and in this instance there were either better options or we did not meet the criteria.'

The newspaper has approached traders for comment but they are seeking further clarification of what the failed bid means before responding.