Harrogate Theatre has said it is exploring "alternative financial models" after suffering a major financial blow at the hands of North Yorkshire Council.

The charity that runs the theatre currently programmes entertainment at the council-owned Royal Hall and Harrogate Convention Centre as well as at the theatre itself.

But the Stray Ferret revealed this month the council has decided to review its agreements with all cultural venues in North Yorkshire.

It means that from next year, the council will take over programming events, such as music, comedy and drama, at the Royal Hall and the convention centre, and receive the income.

The move is likely to have serious financial consequences for Harrogate (White Rose) Theatre Trust, the charity that operates the theatre.

In a statement today, the trust said said:

Theatre chief executive David Bown said it had no further comment.

According to its latest set of accounts filed with the Charity Commission for the year ending March 31, 2022, the theatre generated £3.1 million income and spent £2.7 million.

Its biggest source of revenue was from incoming tours, which brought in £1.4 million, while its own produced work, such as the pantomime, generated £595,000. It also received grants from Arts Council England and the now-defunct Harrogate Borough Council.

The council, which is trying to save £70 million over three years, looks set to grab income from incoming tours under the new arrangement.

With almost half its income set to disappear, the theatre is therefore looking at restructuring.

But what this will mean for its 27 staff — and for the local cultural scene — is not yet known.

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