DURHAM'S Robins Cinema could be closed by early December.
The picture house's owners, Bill Freedman Ltd, have given staff notice of redundancy.
The last movie to be shown will be the next Harry Potter film, likely to guarantee full houses.
The company has made the move in the expectation that Regent Inns' appeal against the refusal of a drinks licence for a theme pub in the building will be concluded in early November.
The company is currently on one month's notice from the building's owners, Troveworth.
The owners have said that, because the building needs refurbishment, the cinema will close whatever the outcome of the appeal.
The move comes as opposition to the cinema's closure is growing following the collection of a 2,000-name petition.
A cinema spokesman said: "We were hugely optimistic with the petition and the fact that the police were putting up a very strong case against the drinks licence.
"We haven't met a single person who wants the pub to happen.
"We set up a meeting with Troveworth and offered to invest £200,000 in the building, but they said they have another tenant.
"Everyone is very sad. Our MD has shed tears about it. The only way we'll still be open is if the appeal is adjourned.''
Jonathan Roberts, chairman of the Crossgate Residents Association which opposed the Walkabout theme pub, has been speaking to pupils at Durham's schools about the cinema's plight.
He said: "Young people are very concerned that if the Robins closes it will be very difficult for them to go to the cinema independently.
"They will have to be driven to the MetroCentre or the cinema at Boldon.
"The Robins is an important part of Durham's entertainment scene. It would be a shame to lose it just when we have got a theatre.''
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