The controversial saga of a so-called “toxic cruise port” in Greenwich appears to have been put to bed as the site’s new owners formally sank their plans.

Last year a huge campaign mounted in opposition to the proposed cruise liner terminal at Enderby Wharf.

Environmental campaigners No Toxic Cruise Port for London objected to having huge ships docking at the site without hooking up to onshore power, saying constantly running engines would heavily pollute the riverside.

The campaign was backed by some councillors, MPs on both sides of the Thames, and eventually Greenwich Council, which called for then-owners, Morgan Stanley, to rethink for a “greener” solution.

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Morgan Stanley said it was dropping the plans before selling the site to Criterion Capital, which has canned the idea of a cruise liner terminal in favour of affordable housing.

Council leader Danny Thorpe welcomed the development, who said: “The more we learned about the causes and impacts of air pollution, the louder the objections to the terminal became. I shared our residents’ concerns and last year publicly called on Morgan Stanley, the previous owners, to rethink their plans.”

The leader said he wants to see green space installed into the site, talking of a potential “Peninsula Park”.

He said: “There were two other major concerns I had about the Enderby Wharf proposals: the amount of affordable housing, and the lack of good quality public space.

“I’m glad that the new owners are talking about “innovative low-cost housing for rental”, but for the peninsula to thrive as a neighbourhood, people need somewhere to walk, somewhere to play and somewhere to relax.

“I had talked last year about creating a new “Peninsula Park” and would hope to see this reflected in any proposals that come forward.

“I hope that we can work with the developers to ensure that the new proposals include as many genuinely affordable homes as possible, with green spaces and safe paths for walking and cycling.”

Campaigners said that one cruise ship would emit the same level of pollution as more than 600 lorries.

The so-called ‘toxic port’ saga has rumbled on since permission was granted in 2015, and pressure has been mounting all year as more and more people – including the Mayor of London – spoke out over pollution concerns.

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Chief executive of Criterion Capital, Asif Aziz, said: “Although the cruise terminal was a profitable proposition, I agree with the local residents who have complained that it would cause significant environmental damage.

“Instead, in conjunction with the Royal Borough of Greenwich and through an open and constructive conversation with local residents and community groups, we shall deliver innovative low-cost housing for rental.

“This will be designed for those who either can’t or don’t want to buy, and will be served by excellent public transport links including the Thames Clipper.”

No Toxic Cruise Port for London was extensively praised by officials last year for the amount of support it garnered in the few months it took to revitalise long standing concerns.