PLANS to transform part of the Waterside waterfront are under threat after costs soared by more than £100,000, the Daily Echo can reveal.

The spiralling cost means the scheme to give Hythe Promenade a much-needed facelift could have to be scaled down or scrapped altogether.

Regeneration bosses at Hampshire County Council will today decide whether to put the plans on hold after building firms returned quotes of six figures in excess of the £499,000 budget.

The project was to include an amphitheatre behind the Lord Nelson pub and a footbridge linking the northern end of the promenade with Hythe's historic pier.

The amphitheatre, comprising a stepped seating area overlooking a tree-lined plaza, was to host markets and events connected with the Waterside Arts Festival.

Now community leaders are desperately trying to stop the project from being scrapped.

Brian Dash, county councillor for Hythe and Dibden, said: "The scheme cannot go ahead as it stands unless more funding is found."

Cllr Dash could not reveal the exact shortfall because of confidentiality policy on contracts out to tender but indicated it was more than £100,000.

He said: "I'm working with officers of the council to see if alternative proposals or alternative funding can be achieved in order that either the whole or part of the project can be recovered.

"I don't know the answer. It might be a scaled down project to meet the money currently available or the work could be done in more than one phase.

Dave Smith, chairman of Hythe and Dibden Parish Council was disappointed.

He said: "The parish council has put a lot of time and effort and resources into the project and so has the district council.

"At this stage for this to happen is very disappointing. The scheme is under threat.

"I think basically there's a shortage of builders and they can charge what they want at the moment. That's why the tenders have come in high."

Nik Nikanlou, chairman of the Hythe Business Partnership, said: "This will affect trade. The redevelopment of the promenade is important because it will bring more people to Hythe."