MCV reports that the campus will remain open for various Sony Europe logistic services, but that the studio itself has been terminated as part of Sony's quality review process.
"We have reviewed and assessed all current and planned projects for the short and medium term and have decided to make some changes to our European Studios," reads a Sony statement released to MCV.
"It has been decided that Liverpool Studio should be closed. Liverpool Studio has been an important part of SCE Worldwide Studios since the outset of PlayStation, and have contributed greatly to PlayStation over the years. Everyone connected with Liverpool Studio, past and present, can be very proud of their achievements."
Sony Liverpool began life as Psygnosis back in 1984, releasing under that name classic games such as Shadow of the Beast and Lemmings. In 1995, the studio created the Wipeout franchise under Sony's ownership, with Wipeout 2048 releasing on the PlayStation Vita earlier this year. It's not known if the studio was working on any future Wipeout games or any other Sony releases.