As The Herald revealed earlier today, Stirling Council's Callum Campbell (Con) and Danny Gibson (Lab), members of the authority's coalition administration, had proposed a motion to "stand up for the symbols of our country", as well as "the symbols of men and women of Stirling have fought and died under for 300 years".
Their motion also criticised "the debasing of our symbols".
But just hours before tonight's meeting, where the move was expected to be carried by virtue of the administration's majority, the pair cancelled the motion.
Mr Gibson said the plans were pulled due to "an atmosphere of negativity", while his Tory colleague said the motion had been undermined by "the vitriolic tone of Nationalists".
However, the plans had also been criticised by leading academics, who described it as a "cheap shot and ill-advised", as well as injecting Northern Ireland-style politics of identity and flags into the independence referendum.
They were also accused of deflecting from the major industrial dispute engulfing Stirling Council at present and the tens of millions of cuts it faces in the coming years.
Posters had added 95 comments, many angry, on HeraldScotland.
The motion had read: "Council resolves to stand up for the symbols of our country by flying the Union flag from the main pole above the council building and the council flag from the freestanding flagpost in the ground of Old Viewforth."
Both councillors had claimed the promotion of the Union flag as the main symbol above Stirling's headquarters, alongside a Saltire, would bring it into line with the Scottish Parliament.
But Mr Gibson, who had seconded the motion, said this afternoon: "We wanted a serious and mature debate about the future of our country, but sadly this is not possible as an atmosphere of negativity has developed. There is much to discuss with regards to Scotland's place in the UK and the future of our country and the effect this will have on Stirling."
Mr Campbell, who had proposed the motion, said: "This debate has become distracted and undermined by the usual vitriolic tone of debate that Nationalists adopt. Instead of focussing on the successes of the social, economic and political union that are a bond that nationalists want to cast aside, they decided to focus on a minor part of the motion that gets their supporters worked up."
"I don't want this motion to become a distraction from the real issues of uncertainty that the SNP are asking us to decide upon next year, so I have written to the Provost withdrawing my motion."
The SNP's Graham Houston said he welcomed the withdrawal, describing the motion as ill-conceived.
He added: "The people of Stirling will decide on independence on the strength of the arguments and not foolish notions like this. The council can now focus on delivering local services, which have been undermined by this administration, starting with its decision to reduce council and bringing it up to having no money to pay staff and forcing it to cut salaries. They really need to get their priorities right."