Brighton and Hove has abandoned its bid to become the first UK City of Culture after organisers criticised its proposals for lacking ambition.
The city's Arts Commission announced the decision, saying the benefits of the status would not justify the costs involved, estimated at £10 million.
Brighton and Hove was one of more than 30 contenders to express an interest in becoming the UK City of Culture for 2013, the first year the scheme will run.
However its initial 68-page submission drew criticism from the awarding body which said it lacked ambition.
The Arts Commission, which includes leaders from the arts and business community, took the decision to pull out at a special meetingsaying it was in the best interests of the city's arts scene to invest gradually in existing festivals and events, rather than stretch resources for a single year.
Business leaders said it was a wise decision.
The cities remaining in the running for the status include Manchester, Birmingham and Sheffield, as well as several smaller contenders.
Chichester is among the list and its district council has allocated £10,000 to develop its bid. It has launched the www.chicityculture.com website to rally support.
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules here