Hereford chairman Chris Ammonds has said that the club can not fund a boys player development centre at present.
Earlier this afternoon the HFA said that they couldn't continue to fund it as their funding from the FA had been cut.
“We feel our focus has to remain on core Hereford FC business at the present time and not put ourselves in a position where we are taking on additional risks," said Ammonds.
"We have worked hard to stabilise the club in recent
months and it is important we do not jeopardise our improved position."