The firm of architects behind radical plans to transform Bradford city centre has been forced into receivership due to financial problems.

Alsop Limited, the practice headed by controversial architect Will Alsop, has been wound-up and the assets have been bought by a new company known as Alsop & Partners.

Will Alsop is one of three partners in the new company which is being funded by London venture capitalists firm R Capital.

The company's struggles have not been helped by a series of high-profile projects which failed to be taken up including a proposed multi-coloured blob on Liverpool's waterfront known as Fourth Grace.

Mr Alsop's plans for Bradford as well asother northern towns such as Middlesbrough, Barnsley and Halifax, have attracted huge media attention.

He was behind Bradford Centre Regeneration's masterplan for the city centre which features a giant lake next to City Hall, marshlands in Canal Road and extensive green areas.

Today Maud Marshall, chief executive of Bradford Centre Regeneration, said its contract with Alsop Limited had been concluded with the publication of the masterplan.

She was unaware of the financial problems at the firm but insisted it would have no material impact on the plans for the future of the city.

"We do still go back to them for further information and they have an ongoing interest in the city, " she said.

"They produced a great masterplan for Bradford."

She did not rule out working with Mr Alsop's firm again in the future.

MrAlsop said he hoped the new funding and restructuring of the business would enable it to grow further. The firm plans to extend its interests in China and North America as well as developing its "interesting and varied portfolio" in the UK.

Commenting on the new funding, Mr Alsop, 57, said: "This support enables us to put the disappointment of the Fourth Grace project behind us and build on our real successes and achievements in the UK, Canada and Far East."

The company, which laid off 25 architects in the summer, said it had no plans for further redundancies and would continue with 60 staff.

Mr Alsop's recent radical plans have included a blueprint for Middlesbrough featuring a ten-storey office block resembling Marge Simpson's hair.