Doubts are being cast on the future of Poole's £1 billion town centre regeneration as the housing crisis deepens.

Poole is awash with major developments, on which the town's future prosperity is said to depend, but fears are being raised as the economy stalls.

A billion pounds of investment was expected to be unlocked by the regeneration, fuelled by the Twin Sails Bridge.

But the bridge is in trouble and the search is on for alternative funding while nationally there has been a huge fall in house prices - down 12.7 per cent in a year.

There are currently six multi-million pound schemes on the stocks, which would deliver three hotels with a total of 405 beds and 2,463 homes, cafes, shops and jobs.

"We have got problems ahead," said Cllr Mike Brooke, head of the Liberal Democrat group. "The council have got all their eggs in one basket.

"The plans and strategies depend on developer contributions and officers know that the housing market has hit rock bottom and facing real economic crisis."

With millions wiped off the value of houses before they were even built, developers are reluctant to commit the funds which the borough relies on for road and community improvements.

He said there would undoubtedly be delays in schemes being built. And some projects, like Barclays new waterfront HQ in West Quay Road has already been shelved due to the economic climate.

"I think we have really, really difficult times ahead for the regeneration," said Cllr Brooke.

The latest application to be submitted is for an 182 bed hotel, 103 flats and 20 serviced apartments and a marina at the Sunseeker site on West Quay Road.

It joins: l Hamworthy power station site, 1,674 homes and 4,000 sq m of commercial space - subject to a revised scheme l Gateway development at the former goods yard and Serpentine Road - planning permission granted for a new railway station, 103 bed hotel, 265 flats l Poole Quay grain silo - permission granted for 64 flats and ground floor retail l Quay Thistle, 260 flats, 120 bed hotel, cafes, restaurants - not yet determined l James Bros, Hamworthy - permission granted for 97 flats and a community centre.

However the Borough of Poole's message remains upbeat.

Council leader Cllr Brian Leverett said: "Poole is not immune to the realities of the changing national and international economic climate.

"Nevertheless, Poole remains a prosperous town with a vibrant economy. The recent decision by Princecroft Willis (Dorset's largest independent firm of chartered accountants) to move its flagship offices to Towngate House demonstrates great confidence in Poole as a place to work and live.

"The council remains as determined as ever to deliver a second harbour crossing and will continue to explore every avenue to secure the additional finances for the project."