West End theatre to have its finances investigated

West End theatre Seven Dials Playhouse will be investigated by a charity regulator over concerns about its long-term financial viability.

The Charity Commission has launched a statutory inquiry into the charity, which provides facilities for the arts as well as theatre productions.

The inquiry will allow the commission, an independent government department that regulates charities in England and Wales, to determine the extent of any misconduct or mismanagement and any risk to the charity.

In a statement, a spokesperson for Seven Dials Playhouse said they were "disappointed" by the decision to open an inquiry but would cooperate with the investigation.

Last year, the theatre decided to sell its central London property which prompted concerns around its finances and management.

The commission has been engaging with the organisation since then and assessed its financial concerns as part of a regulatory compliance case.

The regulator said it raised concerns about significant risks to the charity's funds after several revised drafts of a business plan failed to give reassurance about the theatre's long-term financial viability.

The inquiry will investigate whether the trustees have complied with their legal duties in the istration, governance and management of the charity.

A spokesperson for Seven Dials Playhouse said they had completed the sale of its building in September 2024 to "generate new revenue streams and build a sustainable future, following the collapse of the old hip and training model".

The statement added: "We must also acknowledge that the existence of the inquiry itself, especially the public nature of its announcement, has the potential to cause reputational harm.

"Nonetheless, we will continue to do everything possible to provide transparency, clarity and co-operation throughout this process."

In December 2024 the charity organisation said in a website post that it had "struggled" since it reopened in February 2022, "due to the ongoing ramifications of Covid-19".

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