Everton’s planned stadium move to Kirkby appears to be over after the government rejected their £400 million ground proposal.

The decision could hurt Liverpool’s campaign to be a part of England’s 2018 bid to stage the World Cup in nine years time. The development would have seen Everton move from Goodison Park to a 50,000 seater stadium in Kirkby as part of a complex with a Tesco superstore and other shops.

Everton chief executive Robert Elstone said that the club would review the rejection before deciding their next step. If the club wishes to contest the decision, they can send a letter to the high court within the next six weeks.

What Everton's new stadium might have looked like

Elstone said: “In the short term we need to review the decision and the reason for the rejection. We’ll do that with our commercial partners, with Tesco and Knowsley, and determine how we move forward.”

He added: “All the hard work over a long period of time has been motivated by one thing, to take the club forward. We want to put the club on a firmer financial footing and, ultimately, give manager David Moyes a fairer crack of the whip in the transfer market. We’ve punched well above our weight for a number of years. I don’t think a smaller stadium plan would work for Everton Football Club.”

Liverpool will find out if they have been chosen as a host city for England’s bid on the 16th December 2009.