Plans for a new development which would see eight homes knocked down and replaced with 24 have been scrapped, after months of stress for residents.

The newest GreenSquareAccord development was set to be built on The Rosary in Royal Wootton Bassett, and initial consultations created significant concern among those who risked losing their homes.

In order to demolish and rebuild, the residents living in 30-33 and 42-45 of The Rosary were told they would be moved out of their homes ahead of the demolition.

"My mum is nearly 80 and she has lived in the house for 58 years," said one Bassett local, who did not want her or her mother to be named.

"The first she heard of it was when some people came knocking on the door telling her the house was being pulled down and they were going to build on the land.

Initial plans proposed moving long-term residents out of their homes which would be demolishedInitial plans proposed moving long-term residents out of their homes which would be demolished (Image: Google Maps) "GreenSquareAccord has said it will find somewhere for her to go and she can come back to one of the new houses if she wishes, but I personally think it is disgusting that they are moving tenants out of the houses in the first place."

But after four months of worry for the residents who feared being moved, GreenSquareAccord has now confirmed that the plans are being scrapped due to lack of funding.

In a letter sent out to affected residents, a spokesperson for the developer said: "We have been clear during our consultation that these proposals were dependent on planning permission, grant funding and internal approvals.

"We have now had the opportunity to assess the updated plans taking into consideration the feedback from customers, communities and partners and fully cost the proposed scheme.

"After carefully reviewing the proposals considering the feedback and information we have gathered over the last few months, it has become clear the plans are not financially viable within our current funding constraints.

"As a result, we will not be progressing with our plans at The Rosary."

Mark Patchitt, director of development at GreenSquareAccord, said: “We have been clear during our consultation that these proposals were dependent on planning permission, grant funding and internal approvals.

“To inform this process we have carried out surveys and consultations with customers and the wider community which have shaped the plans and our designs. We have now had the opportunity to assess the updated plans taking into consideration the feedback from customers, communities and partners and fully cost the proposed schemes.

“As a not-for-profit social housing provider, before we commit to investments, we must ensure they are viable and responsible. After carefully reviewing the proposals considering the feedback and information we have gathered over the last few months, it has become clear the plans are not financially viable within our current funding constraints. As a result, we will not be progressing with them.

“We appreciate this news may be disappointing, and we are sorry that we have not been able to move the plans forward as we would have liked. All affected customers have been informed and we have also informed our local authority partners. We would like to thank everyone involved in helping us to explore the proposals.

“We remain committed to investing in our homes in Wiltshire and exploring future development opportunities where these are financially viable.”