"The government has been considering whether we pilot a bond scheme that would deter people from overstaying the visa. We have decided not to proceed,” the spokesman told the Sunday Times.
Under the scheme, which was announced by British Home Secretary Theresa May in June, visitors considered to be of “high risk” nations would have to pay £3,000 before arrival in the UK.
The plan that aimed at preventing abuse of immigration rules in the country was expected to cover visitors from countries, including India, Pakistan, Bangladesh, Sri Lanka, Nigeria and Ghana.
British Deputy Prime Minister and Liberal Democrat Leader Nick Clegg, who initially helped announce the scheme, threatened to block it if it was applied in an "indiscriminate way."
Chairman of the Commons home affairs select committee Keith Vaz also described the plan as "unfair and discriminatory."
Last month, the British government cancelled its controversial poster campaign, which urged illegal immigrants to “go home or face arrest.”
Human rights groups criticized the campaign for creating climate of racism and xenophobia in the society.