Councillors are complaining that community groups are being forced out of Hove Town Hall through a new pricing policy.
They have ordered a review of the impact of changes on the number of bookings and the budget.
Members of Brighton and Hove City Council's scrutiny management committee heard that the Hove Centre at Hove Town Hall was falling well below income targets.
There was concern some smaller and community organisations were unable to afford increased fees and that some regular bookings have been lost.
Complaints have also been made to The Argus that new catering rules make it less attractive to hire the venue.
But leisure head David Fleming told councillors that although two regular users had been lost, another two had been attracted to the centre.
There were also 19 new events through the fresh policy of marketing the Hove Centre as a live venue.
Mr Fleming said income from lettings had increased during the lifetime of the council from £129,000 to £200,000.
But this was less than the £300,000 expected because a fire inspection had resulted in the main hall operating at two-thirds capacity until more fire exits were produced.
Labour councillor Les Hamilton said he had received complaints about the charging policy and they should be investigated.
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