New York Mayor Michael Bloomberg says work on a planned museum at the World Trade Center has ground to a halt because of a money dispute, and there is now "no chance" it will open on time next year.

The museum commemorating the 9/11 attacks is scheduled to open in September on the 11th anniversary of the attacks.

But in recent months the foundation that oversees the memorial has been fighting with the Port Authority of New York and New Jersey over who is responsible for paying for millions of dollars in infrastructure costs.

Thursday marked the first time that the mayor and other officials have acknowledged that the dispute had erased any chance of the museum opening on time.

9/11 Memorial opens up to public