Wax:On Live festival, which was to be held in Leeds on May 31, has been cancelled.
The organisers have blamed the general economic downturn for the festival's financial problems.
A statement on Waxonlive.com explained: "The festival fell victim not to poor ticket sales or lack of support and dedication, but to the credit crunch that has the UK in the grip of an economic stranglehold.
"This morning we have been informed that due to circumstances in the global financial market place and its knock on effect, the event has become unsustainable. We threw everything we had at the event to try and make it go ahead and we're really disappointed we couldn't see it through."
Yorkshire's Lotherton Hall was due to see performances from acts including Primal Scream, Reverend And The Makers and Hercules And Love Affair.
Ticket holders are advised to contact their place of purchase for refund.
The Wax:On club nights are still set to go ahead in Leeds, Newcastle and Brighton, however - see Waxonlive.com for details.
