Local enterprise partnership bosses expect Herefordshire Council to pay back £3.8m it has already spent on the Hereford southern link road.
The Marches Local Enterprise Partnership want to spend the original £27m allocated for the South Wye Transport Package on other projects across Shropshire, Telford and Herefordshire.
Some of the projects include a primary care centre in Shropshire, infrastructure in Oswestry and a care project in Telford.
Funding will also go towards the Ross Enterprise park and the Hereford Enterprise Zone.
County council leader David Hitchiner said they were disappointed that the LEP intend to request the repayment of £3.8million.
“This was not a decision Herefordshire Council agreed to, and the monitoring officer has advised that the current construction pause in relation to the Southern Link Road does not constitute a trigger for claw back of the grant monies,” he said.
“Up to now the LEP have not provided any justification for repayment and we do not consider that repayment is due.
“We will consider the LEP’s justification once presented.
“We will continue to work with the LEP towards what is best for Herefordshire and the Marches, and we are pleased to have successfully secured further investment for infrastructure at Skylon Park, and funding for the next phase of the Ross Enterprise Park project, both of which will help to create jobs and strengthen the region’s economy.
“This will be especially important in our recovery from the effects of the Covid 19 crisis.”
