Labour leaders in Shrewsbury are calling for a rethink on plans for a new theatre, costing nearly £30m, in the town.
The development at Frankwell was given the go-ahead in principle last month by the Conservative-led borough council.
But planning permission still needs to be granted by the council before work can begin next year.
Labour leader Danny Moore says priority must be given to building 500 new and affordable homes in the borough.
His comments are supported by prospective parliamentary candidate Mike Ion.
Both men have stated they have no objection to a new entertainment complex in principle.