The Ukrainian group, labelled as the most popular group to ever perform at the festival, revealed that it can not appear at this summer's event after its government ordered members to perform elsewhere.

The shock news has also punctured the committee's campaign to help fund Svitanok's trip and comes as a huge blow after the staggering success of the sponsorship bid.

More than £2,000 was donated by kind-hearted music lovers in just two weeks to bring the group to Alnwick.

Svitanok's art director Evgen Dosenko said: "We do understand your will and desire to see us this year and believe us, we wish to come no less, but we regret to announce that it will be impossible for our group to visit your festival this year."

Originally the Ukrainian group revealed that its appearance had been thrown into jeopardy following the substantial rise in the cost of visas, which catapulted from £40 to a hefty £99 each.

But in an overwhelming show of public affection, many locals rallied to the group's aid and backed the committee's campaign by sponsoring a member of the group for £60.

The fantastic response saw the sponsorship total rise to £2,120 in just two weeks meaning that the committee were just £880 short of reaching the milestone £3,000 needed to cover the group's visa costs.

Festival treasurer Don Watson said: "The music festival organisers were bitterly disappointed to learn, on Tuesday, that Svitanok are unable to attend the event this year. We issued a formal invitation to them in October 2006. I suspect that the uncertainty, caused by the recently announced increase in the cost of their visas to £200 prompted them to investigate the possibility of attending an alternative festival in their own country. It appears that they may have fallen between two stools and, as a result, found themselves under instructions from their government to attend a festival in Odessa."

Svitanok's bombshell means that the visa campaign is over. Everybody who kindly sponsored the group will have their cheques returned in full.

Don continued: "The festival organisers are deeply grateful to the many people, businesses and organisations who responded so quickly, and generously to the appeal in the Gazette. We were stunned to learn, following last week's article, that the amount donated had risen to £2,120, which is more than two thirds of the amount that was needed. We are writing to everyone who has contributed, returning their donations, and thanking them for their kindness and support."

Mr Dosenko praised the support from festival fans and the committee.

He said: "We can hardly express our appreciation for all the efforts you do for us and we really value everything that you did for us."

Svitanok hopes to return to next year's music festival.