The Rose Theatre is looking for more cash handouts to keep it afloat, according to impresario Sir Peter Hall - on top of the £8.4 million of council taxpayers' money already put into the venture.

He revealed that despite being knocked back once already by Arts Council England, the theatre was returning cap in hand a second time.

But he also criticised the Arts Council which has been denounced by luminaries such as Sam West and Kevin Spacey for removing grants from 185 companies this winter.

"I don't think any of us have quite recovered from the Arts Council's contortions at the beginning of this year," Sir Peter told the Sunday Telegraph.

"The idea that the Arts Council is a body that should operate at arm's length from the Government has long gone. The Arts Council now belongs to the Government."

A spokesman for the theatre declined to confirm the approach to the Arts Council or any other major sponsors saying: "The Rose Theatre is actively and doggedly pursuing all funding possibilities in order to secure the long term future of the theatre."

But an Arts Council spokesperson said: "We can confirm we are in discussions with the Rose Theatre about future funding.

"Our grants are in high demand, but we hope to be able to work with them to ensure that the venue flourishes."

Sir Peter told the Sunday Telegraph that the theatre had made a good start, but that its long-term future would depend on attracting either major sponsors or public funding.

He also revealed he would direct a Shakespeare play to boost coffers - likely to be Anthony and Cleopatra if his comments as a guest on BBC's Any Questions are to go by.

The Theatre has already tried to attract outside investment - most notably unsuccessfully asking Iraqi businessman Nadhmi Auchi, the 27th richest person in Britain with an estimated wealth of £2.1 billion, to buy a £3 million stake.

The funding of the Rose will come under more scrutiny on July 8 when opposition Tory councillors get the chance to interrogate Lib-Dem run Kingston Council on the £350,000 it approved to cover cost over-runs at the theatre.

Despite leader of the council Derek Osborne pledging to shut the public purse strings, the Kingston Theatre Limited Liability Partnership which oversaw the refit, has twice come back to the council asking for an extra £600,000 after cost over-runs caused by not enough legroom, dodgy wiring and doors.