The award winning regeneration specialists won approval from city authorities to convert the art-deco building into apartments, offices, leisure facilities and a hotel.

But the city council now plans to use the landmark building in its Building Schools for the Future programme with the building becoming home to Archbishop Blanch and Sefton Park-based St Hilda’s.

But Mr Bloxham said the company was committed to both the ABC Cinema and the former Pleasureland site.

He said: “There’s no big announcement coming on these schemes. We are making progress and we have got a number of interesting ideas. But the current environment makes it more difficult.”

He said the current economic environment is similar to that of the late 1980s and early 1990s when Urban Splash started working in the Concert Square and Rope Walks areas of the city centre.

“Adversity brings out the best in people and companies. We are determined to use the great sites and buildings [ABC Cinema and Pleasureland] to do something very special.

“On both we have got lots of ideas that we are exploring and trying to come up with the best solution.

“It’s difficult to move forward at the pace we want to.”

But he did reveal the company would have positive news about the Matchworks Factory in Garston soon and “fresh opportunities” were emerging.