There remains, however, the possibility that the museum will reopen in North West England's coastal resort of Blackpool.

The Victoria and Albert Museum — owner’s of the Theatre Museum's current Covent Garden building — recently announced that the V&A and Blackpool Council are working on a feasibility study for the project. The study’s conclusions are expected to be announced in the summer of 2007.

The new museum would be devoted to British theatre and house the V&A's theatrical collections. It would also complement the V&A's planned permanent gallery in London, which would host major exhibitions and touring displays.

Several Blackpool locations are being considered as part of the feasibility study.

The crisis was prompted by two failed applications for lottery funding to upgrade the Covent Garden building, which has housed the Theatre Museum since 1987.