A much-loved Sudbury garden centre has announced it will no longer be going ahead with a project to build a new £10million site due to "spiralling costs and the increased cost of borrowing".

More than 120 jobs were going to be created as part of the plans to build a new garden centre at Perrywoods, which received backing from Newton, Chilton and Great Cornard parish councils as well as Sudbury Chambers of Commerce.

A statement on its website reads: "In June 2021, we were granted planning permission to build an inspirational new Garden Centre at our Newton Road site.

"Since then, we have been working with potential contractors.

"We have this week come to the difficult decision not to go ahead with the project as per the designs submitted within the planning application.

"These plans are no longer viable due to spiralling costs and the increased cost of borrowing.

"However, we remain committed to making improvements to the garden centre at Perrywood Sudbury.

"We will now be looking at a range of more affordable development options."

In June last year, the garden centre announced ambitious plans which included a restaurant, enclosed open canopies and outdoor sales areas.

It was also planned that once Perrywoods had moved to the new site, the existing buildings would have been repurposed with the potential to be leased out to other rural businesses and organisations.

Bosses have said the decision will not affect any day-to-day operations. 

"In four years we have increased turnover from just under £1m to more than £3.5m, and we are now known in the region for our high standards, quality plants and products and the delicious food in our coffee shop," the statement continued.

"Since we started planning this new build, the world has changed beyond recognition.

"We’ve had a pandemic, Brexit, the war in Ukraine and a cost-of-living crisis.

"What’s more, the uncertainty for the retail sector and businesses, more generally, continues.

"It’s the responsible course of action to change direction and look for more affordable options to realise our vision.

“We look forward to coming up with new ways to improve our business and to continue to play our part in the local and regional economy.”