BOSSES at a popular youth theatre said today they were "devastated" by proposals to cut its council funding.

The Stagecoach Youth Theatre, in Monkgate, York, looks set to lose its £9,500 annual grant, as the city council tries to balance its books.

Board member Diana Gibbon said: "We felt devastated, absolutely gutted, because the money is the backbone of our funding."

City of York Council officers told theatre director John Cooper they plan to reduce the annual grant by £2,000 a year until 2009, when it will be cut entirely.

The proposal will be put to councillors this month.

Mrs Gibbon said: "That money gives us the confidence to know that we can carry on with productions. Without it we will have to cut back on the productions."

Updated: 09:42 Tuesday, January 03, 2006