West End told: No case for public cash

The Government and the London Development Agency followed the Heritage Lottery Fund in making clear they were in no position to pay for improvements for commercial theatres.

They insisted it was for the owners, who include Cameron Mackintosh, Andrew Lloyd Webber and the Ambassador Theatre Group, to fix the problems of London's Edwardian and Victorian theatre stock.

A spokesman for the Department for Culture, Media and Sport said: "We have discussed the state of the West End theatre estate several times with representatives of the commercial theatre sector, Lottery distributors and the London Development Agency.

"Discussions have most recently focused on whether commercial theatre operators might be able to work more closely together to help maintain their theatres. We are always ready to discuss proposals and help where we can."

The London Development Agency commissioned a report into West End theatres by KPMG, which acknowledged refurbishment was an important issue. But it concluded it would be inappropriate to use taxpayers' money to support commercial ventures that took more than £400 million in ticket sales last year.

"The LDA recognises the importance of West End theatre as a major tourism attraction for the capital and a key element of London's cultural sector," a spokesman said.

Through its funding of Visit London, the agency promoted theatre to both international and domestic visitors.

"However, it does not believe a convincing case has been made for the investment of public money in modernising buildings which are in private ownership, or why West End theatre should be favoured in this regard over other commercial cultural enterprises, such as music venues, cinemas and restaurants, which could all make a similar case for funding," said the spokesman.

"Furthermore, given the current performance of the sector, it is hard to see the specific case for additional direct investment in capital improvements."

The owners stress it is producers that make the big money from hit shows. They argue West End theatres are a unique part of Britain's heritage and vital for tourism. But they are expensive to maintain as nearly all the 40 West End theatres are listed.

A thorough inventory in 2003 by the Theatres Trust showed they needed an estimated £250 million in refurbishments on top of millions of pounds worth of routine annual maintenance.