Hull regeneration agency Hull Forward will cease operations on 30 September following withdrawal of funding by Yorkshire Forward as public expenditure cuts bite.
Hull Forward replaced urban regeneration company Citybuild in 2008 but, following discussions with Hull City Council, Yorkshire Forward and the Homes & Communities Agency, it was decided to end operations in the autumn.
"It is clearly disappointing news but we remain proud of the significant achievements made by our dedicated, professional and passionate team in providing a vital interface between the public and private sectors to drive Hull's ambitious regeneration programme," said chairman Ian McIntosh.
"Key physical regeneration projects such as St Stephen's, Humber Quays and the current construction of the River Hull footbridge would not have happened without the work of Hull Forward's team."
Up to 34 staff employed by the company now face redundancy.
"'We hope that some projects may be able to continue through other means and that the momentum of so many positive initiatives is maintained," said Mr McIntosh.
"We understand that public sector partners are discussing which programmes and projects can be taken forward in the current economic climate."
