The Brewhouse Theatre and Arts Centre in Taunton is to go into administration tomorrow following cuts to its public funding in recent years.
The centre is expected to confirm that it will be closing from tomorrow (February 21) while all options are considered.
It currently employs 55 people – 20 full time, 35 part time – and 21 volunteers and is expected to announce tomorrow that all staff will be made redundant.
Arts Council England withdrew its regular funding to the Brewhouse in 2005, which preceded an annual funding cut of 25% from Taunton Deane Borough Council.
Somerset County Council then removed its funding to all cultural organisations, including the Brewhouse, in 2010.
The 352-seat theatre venue and gallery is expected to release a statement tomorrow.