Lincolnshire CC has conceded it does not currently have the budget to complete the £110m Spalding Western Relief Road (SWRR), leaving it with a £50m 'bridge to nowhere'.
The 'bridge to nowhere', as it has been dubbed by the national press, was completed last year as part of the scheme, as was the north section of the route, however construction of the southern section has stalled due to financial issues.
In its 2025-26 budget, the authority earmarked £27.7m towards building the southern section of the SWRR, but this falls some way short of the estimated £50-£60m required.
As a result, the project will likely not be finished until at least 2030, while Lincolnshire seeks more funding.
A spokesman for the council said: 'Construction of the north section of the Spalding Western Relief Road was completed in October 2024. In the approved 2025-26 council budget, there is currently £27.7 million earmarked towards building the southern section of the road in the future.
'However, the current estimated cost of building this section is between £50-60 million, which means external funding will be needed.
'That is why we are continuing to work closely with South Holland district council to identify funding opportunities, including remaining in touch with Homes England.
'In addition, no funding has yet been allocated or secured for the middle sections of the relief road as these are intended to be built in the long-term.'
The council promoted the SWRR, which links the B1172 (Spalding Common) and the B1356 (Spalding Road), to help support future housing and commercial growth and to 'mitigate the impact of increased rail freight passing through the town'.
A council spokesman added: 'Funding for the southern section was re-allocated in 2023 following three years of turbulence within the highways sector, including cost increases due to Covid; growing inflation rates; and the country entering into a recession. These factors, and others, led to increased costs for our other major road schemes in Lincolnshire, which needed to be offset.'
The council also said the northern section of the relief road had opened up land for an initial 1,100 homes under the South East Lincolnshire Local Plan.
It said a new roundabout had also already unlocked land for housing on either side of the railway and a significant start had been made on-site.
