Fund-raisers and managers of an Eastbourne theatre have vowed to keep it open despite news that a financial backer has pulled out.

Patricia Venton, from Eastbourne, had offered to buy the freehold of the Royal Hippodrome in Seaside Road for £250,000 and invest £500,000 in refurbishing the building.

She gave freehold owners Eastbourne Borough Council until last Friday to agree to the price, but was still involved with negotiations with the council and management company Matpro Productions at the beginning of this week.

Yesterday the council decided to reject Mrs Venton's offer.

Deputy council leader Bob Lacey said he was not sure the offer had been serious.

He said: "The council cannot operate under those kind of time deadlines and we have a financial duty to dispose of it a reasonable price.

"In itself the offer was insufficient. With those kind of timelines I just wonder if they were ever serious in the first place."

Theatre manager John Pleydell vowed he would continue to fight for money for the theatre and to bring tourists to the town.

He said: "The Hippodrome is the only theatre in the town that doesn't cost the taxpayer any money.

"Ten years ago it was definitely going to close but it didn't and we will continue to save it by putting bums on seats and bringing in the holidaymakers, who come back year after year."

The theatre was built in 1883 and was made a Grade II listed building after a campaign by the Friends of the Royal Hippodrome.