Stallholders have expressed their dismay after discovering that Goole Market is to close.
The East Riding Council-owned market hall, which opened in 1898, has been run by the town council for over three decades.
But town clerk Brian Robertson said it was in "terminal decline" losing £48,700 last year and was set to make a more than £50,000 loss this year.
He said there was a dispute with the East Riding Council over the lease, which the town council claims was never signed, but "either way we are committed to closing next March."
He said: "A lot of people have been complaining about the closure but they are not shopping there.
"It's the usual cliche - use it or lose it.
"For years traders have been struggling against online shopping, out of town shopping centres where you can park outside and buy everything and pound shops.
"They can't compete - if you take something like fruit and veg they can't buy the stock in for what Aldi and Lidl are selling it for.
"We have tried various incentives to increase occupancy, but everything we have tried to do is obviously not working."
The market currently has just 14 traders including a delicatessan. It also sells shoes, bric a brac, books and rugs.
One trader said they were surprised about the closure, adding: "I always thought Goole Town Council was for the people of Goole, but they have willy-nilly passed us back to the East Riding. We need the East Riding to come along and say what is going to happen."
East Riding Council has been asked to comment.