The game was initially delayed by 15 minutes to give the game every chance to go ahead.
But with the Ashton Gate pitch deemed to be unplayable, the match officials had no choice but to call the game off.
"Despite the best efforts of the groundstaff, referee Michael Naylor made the decision (to postpone the match) after initially delaying kick-off for 15 minutes," read a statement on the Bristol City website.
"Details of the rearranged date will be announced in due course, following discussions between City, Watford and the Football League."
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