A new theatre being built alongside the River Severn in Shropshire is running nearly £160,000 over budget.
Advantage West Midlands (AWM) has been approached for extra cash to help complete Theatre Severn in Shrewsbury.
But councillors are also drawing up plans to cut costs in areas including the flood gates, seating and floors.
Construction, which started in October 2006, is running more than three months behind schedule and should now finish on 3 February 2009.
AWM has already provided £1.8m to fund the theatre build at Frankwell Quay, now expected to cost more than £30m.
Archaeological finds, including the remains of a medieval bridge, have contributed to costs going £157,678 over budget, a report has revealed.
New facilities planned include a 650-seat main auditorium, a 250-seat studio theatre, a dance studio, function rooms and a cafe bar with terraces overlooking the river.
Shrewsbury and Atcham Borough Council will discuss the funding shortfall at a meeting on Tuesday.