Parker is set to face Mexican/American Andy Ruiz for the WBO world heavyweight title on 10 December.
Parker's promoters Duco have been trying desperately to secure the seven-figure sum required for the title fight to happen in Auckland, which would be one of the biggest one-off events to occur in New Zealand.
But at a news conference in Auckland, Duco owner David Higgins said it was withdrawing its application for funding to Major Events New Zealand after studying the reaction of the public, the media and politicians.
