Applicant Wayne Low has told Scarborough Council that the planning application for the land to the south of Sands Road in Hunmanby is not moving forward at this time.
The application would have seen the caravans placed on the land in order to be used as holiday accommodation.
A new access onto Sands Road would also have been created.
During the consultation process 209 people wrote to the council to register their objection to the proposals, with a number those concerned about the impact on traffic and the loss of the open space.
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Scarborough Council has confirmed that the scheme has now been withdrawn.
Last month, North Yorkshire County Council’s deputy leader Councillor Gareth Dadd raised concerns about the number of applications for holiday accommodation being lodged in the county.
Mr Dadd said that while tourism was a critical industry for the area, so was agriculture. He said it was important to strike the right balance as well as protect the area’s rural character.
He said: “I think we are in danger of over-supply and it could detract from what attracts people into the county. We have got to be careful going forward.”
Since the beginning of the pandemic councils and national park authorities in the county have seen about 100 planning applications submitted to launch glamping pods, shepherds huts, log cabins or extend existing holiday parks.