The £90bn plan was dubbed Boris Island due to its strong backing by the Mayor of London. Initial designs were drawn-up by Foster + Partners.

It will not now be added to a shortlist of options for boosting airport capacity by 2030 leaving expansion plan for Gatwick and two for Heathrow in the running.

Commission Chair Sir Howard Davies said: “We are not persuaded that a very large airport in the Thames estuary is the right answer to London’s and the UK’s connectivity needs.

“While we recognise the need for a hub airport, we believe this should be a part of an effective system of competing airports to meet the needs of a widely spread and diverse market like London’s.

“There are serious doubts about the delivery and operation of a very large hub airport in the estuary.

“The economic disruption would be huge and there are environmental hurdles which it may prove impossible, or very time-consuming to surmount.

“Even the least ambitious version of the scheme would cost £70 to £90 billion with much greater public expenditure involved than in other options – probably some £30 to £60 billion in total.

“There will be those who argue that the commission lacks ambition and imagination. We are ambitious for the right solution.

“The need for additional capacity is urgent. We need to focus on solutions which are deliverable, affordable, and set the right balance for the future of aviation in the UK.”

The commission will now continue its appraisal of the three shortlisted proposals for additional capacity and will publish the appraisal for public consultation in the autumn.

The three remaining options are:

• a proposal from Gatwick Airport Ltd for an additional runway to the south of the existing runway at Gatwick Airport
• a proposal from Heathrow Airport Ltd for an additional runway to the north west of the existing northern runway at Heathrow Airport
• a proposal from Heathrow Hub Ltd for an extension to the existing northern runway at Heathrow Airport to operate as 2 separate runways