THE restoration of a theatre which once hosted the Beatles as well as the Rolling Stones will cost taxpayers over £10m - but it will be the most state-of-the art music venue in the region, councillors were told.

The Globe Theatre in Stockton – which when complete will be the largest-capacity music venue between Newcastle and Leeds – will also boost the Tees Valley's planned bid to become capital of culture, Stockton Borough Council chief executive Neil Schneider said.

The initial plan to refurbish the Globe and restore it to its former Art Deco glory had turned into a much bigger project than expected, and with a major international theatre group on board, the council soon realised it needed to invest more than £7m more than originally planned. The Heritage Lottery Fund has also pledged £4.5m of grants.

The result, a meeting of Stockton Council's cabinet heard on Thursday, will be 3,000 capacity venue, complete with a six-storey backstage extension to the rear, capable of hosting the biggest shows with a quick turnaround.

As previously announced, theatre operator ATG, which runs prestigious West End and Broadway venues, will manage the Globe in a profit sharing scheme with Stockton Council.

Building owners Jomast, originally a partner in the project, took a step back from it last year and allowed the council to take over as lead when it emerged that the restoration needed to be much bigger than originally planned, to make it viable.

Stockton Council is leasing the building but has an option to buy it for £200,000 in 2031 under the agreement with Jomast.

Councillors agreed to release the extra £7m needed to fund the ambitious project.

Mr Schneider said: "This is one of the most complex and difficult projects I have dealt with, but when complete it will be game changing."

Conservative councillor Lynn Hall said she welcomed the restoration of the Grade II_listed building but said; "Since we got involved in March last year we have been putting in the extra millions of taxpayers money and I really hope this is better than ever before, because it will need to be."

She also said she felt the business plan, which estimated 256 jobs in the supply chain for the Globe, was "optimistic".

Labour councillor Jim Beall said he could remember seeing the Beatles play the Globe twice in the 60s.

"I remember I queued up all night in the alley for a ticket," he said. "The Globe is part of the cultural psyche of the town."