IT drew thousands to more than 50 events in its first year, but City of Newcastle's New Annual festival will have to wait until 2022.
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The council announced on Tuesday it was scrapping the planned September start date for the arts festival, postponing until September 2022.
It is the latest blow for the city's arts sector amid lockdown and ongoing transmission of COVID-19 in Newcastle and the broader Hunter. The second festival was originally due to run from September 24 to October 3 this year.
The council said the cases and "associated public health, artist availability and restriction concerns" had prompted the decision.
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City of Newcastle strategy and engagement acting director Kathleen Hyland said the disappointment was eclipsed by the clear signs the timing was wrong for the festival.
"The decision to not go ahead with New Annual this September has been made with our community's safety in mind," Ms Hyland said.
"Following on from the success of our inaugural event in February, our team was in the midst of planning a New Annual that would take the festival to the next level with an outstanding program of events and performances, including new acts and new locations that would bring our city to life.
"But with headline artists coming from across Australia, and New Annual's audience being drawn from far and wide, the current COVID environment means it is no longer appropriate, or possible, to deliver the kind of event we envisaged."
Ms Hyland thanked staff and stakeholders for their passion and commitment.
Lord mayor Nuatali Nelmes pledged the festival would return, and the council was working with artists to let them deliver their works if events including New Year's Eve festivities proceed.
"City of Newcastle is committed to seeing New Annual grow into a landmark cultural festival on Australia's annual events calendar and we look forward to seeing it return bigger and better in 2022," Cr Nelmes said.
The first New Annual's initial September 2020 start date was also abandoned, instead running in February this year.
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