Trump said on Twitter he canceled the visit because the US embassy's former location was sold at a "bad deal".
Bemused construction workers and passers-by took selfies with the Trump waxwork, which was first unveiled at Madame Tussauds in January a year ago.
A ribbon-cutting for the new $1 billion U. S. Embassy in London will go forward but not with President Trump.
"Bad deal. Wanted me to cut ribbon-NO!" the USA president added.
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However, London's mayor Sadiq Khan, who has been a target of Mr Trump's twitter tirades, said the president had "got the message" that he was not welcome in the United Kingdom capital.
He said it was due to concerns about the embassy's move from the elite Mayfair district to a less fashionable area of London.
The State Department, however, announced plans for relocating the embassy in 2008, while George W. Bush was still president, because of concerns about security following the September 11 terror attacks.
Foreign Secretary Boris Johnson told parliament on Tuesday that he expected Queen Elizabeth II to meet Trump during his visit, saying she was "well capable of taking this or any American president in her stride". He said the opening of the embassy was a matter for the USA government. "It seems he's finally got that message", Khan tweeted.
Donald Trump's lawyer files lawsuit against BuzzFeed for publishing Russia dossier
When pressed by the committee, Simpson's lawyer Joshua Levy suggested it would be unsafe to do so. The release of the transcript does not, however, break any laws, as Trump suggests it might.
There had been speculation that the trip would be merged with a planned state visit to Britain offered to Trump by Prime Minister Theresa May, which has met with strong public and political opposition.
The American flag was this month removed from Grosvenor Square where the U.S. embassy has been based since 1938 with the area known as "Little America" during World War Two, when the square also housed the military headquarters of General Dwight D. Eisenhower.
In response to the cancellation, London Mayor Sadiq Khan celebrated the news, saying the USA president "is not welcome here".
Many Londoners have made it clear that Donald Trump is not welcome here while he is pursuing such a divisive agenda. In 2009, it was given "listed" status which limits changes that can be made to the building's exterior because of its historical significance.
East Coast locked in cold weekend of sub-zero temps
Yesterday, wind chill warnings from Virginia to Vermont hit Burlington, Vermont, with a temperature of -1 and a wind chill of -30. East Coast with heavy snow and freezing cold that made for treacherous travel conditions and bone-chilling misery.