The School Lane building – home to Yorkshire Art Circus until its closure in May due to funding cuts – could be put on the market because council chiefs say it is a drain on its resources.

But Castleford councillor Tony Wallis says the building should be saved for community use.

He said: "I believe that the building should be kept in public use, with more use by the community.

"The building does need a large amount of money to keep it open, but we are looking at options where it would be run by the groups who use it, so it is not a drain on council funding.

"The need for a community asset is much greater than the need for housing in Castleford, and this particular building is also a landmark which older residents of the town will remember as the old school house.

"It's a race against time though, as the longer the building is left, the more unreliable it becomes."

Alison Drake, chairman of the Castleford Heritage Trust, said: "We are looking at possibilities that would result in providing the building with a safe future, servicing the community.

"We know that the council has a lack of funding at the moment, but selling this building would not solve the problem in the long run, the community shouldn't have to suffer."

She added: "A number of charities, including the Coalfield Regeneration Trust, are reacting favourably to the possibility of generating funding, and we know that the crime reduction organisation NACRO would be an excellent group to replace the Yorkshire Arts Circus and put the building to good use."

Andy Wallhead, the council's corporate director for regeneration, culture and sport, said the centre's future was still unsure.

He added: "We are looking at all possible options for this building and are in discussions with people who have a stake in its future.

"We are still gathering information before we can reach a decision."