Bosses at Newbury's Corn Exhange say the venue has a strong future - despite announcing three redundancies.

A three year funding agreement has just been signed with West Berkshire Council which will keep the theatre going.

Director Nick Giles says that means they have some certainty as public spending cuts start to hit.

He said: "I know a lot of my colleagues aren't in the same kind of position where they have been able to secure this kind of agreement.

"The reality is that over the next few years it could be as many as one in three arts organisations across the country will close because the pressures on funding will be so high.

"In that sense we are in a very strong position and because of a lot of work done over the last few years and the fact that we run quite a tight ship, I'm hoping that puts us in a strong position going forward."