Lambeth Council has rejected a planning permission request for a new tower on the Embankment, skyscraper news.com has reported.
The building designed by architects, Make, would it said, infringe on the amount of light reaching a nearby residential tower.
The council was also opposed to the scheme as it did not provide 25 per cent employment, as their laws demand.
Mayor Boris Johnson has been involved in the ongoing debate surrounding commercial property and the effect of new skyscrapers in London.
He first opposed the building of three central London towers in Waterloo on the grounds they obstructed historic views, then later agreed they should go-ahead.
Commenting on the U-turn Michael Ball, director of the Waterloo Community Development Group told this is London.co.uk: "This is the third time Boris has reneged on his election promises to stop skyscrapers, after failing to make effective interventions in Doon Street and Beetham Tower."