The city council, Network Rail and East Midlands Railway are now expected to rebid the project which secured nearly £18m in levelling up funding early this year.

City mayor Sir Peter Soulsby confirmed that only one company bid for the contract so no agreement was signed.

Under the revised plan the council hopes to start restoration work later this year bringing the city’s historic railway station back to its former Victorian glory.

Soulsby told the BBC: “I’m very disappointed that we did not get a good response for tenders.

“There appears to be a sudden shortage of contractors who are able, or willing, to take on this kind of specialist project.

“That is a reflection of the state of the industry.

“I am determined that we get on with this very important project, and we will be retendering in the near future.

“We will be looking at ways we can make the contract more appealing.”

The procurement race was first run as a two-stage design and build contract estimated at £17m.

Under the plans, the station’s main entrance will be moved from London Road to Station Street to create a new public plaza featuring rainwater gardens and new tree planting.

A new curved ramp, steps, and lift will provide access to the new entrance and main concourse ticket hall

The council also hopes the project will reveal the original front face of the historic Grade II listed building.