With fans not able to attend matches due to the ongoing coronavirus pandemic, teams throughout non-league are struggling to cope with day-to-day running costs.
National League and National League North and South clubs were offered an £11m loan to cover expenses from January to March by the UK government.
It had been hoped, though, that money would have been in the form of a grant rather than a low-cost loan.
Clubs were then asked to vote on a resolution for the 2020/21 National League, North and South campaigns.
Telford voted for the season to be declared null and void with all records wiped.
In total 24 clubs from Step 2 – which consists of National League North and National League South – voted in favour of ending the season prematurely.
A total of 19 clubs voted to carry on playing.
As the vote required only a simple majority of more than 50 per cent, the resolution has passed.
Teams in the National League, including Wrexham, will carry on playing.
A statement from AFC Telford United said: “Following a vote from all 66 National League clubs it has been confirmed that the 2020/21 National League North/South season has been declared null and void and the National League (Step 1) will continue.
“Although we welcome this news as a football club, because it gives certainty, we will now need a little bit of time to digest the news and work on a plan as a way we can move forward to ensure we secure the future of AFC Telford United and make sure we are in a position to start the 2021/22 campaign, which we will be.”