By Joy Watters, arts reporter

THERE WAS a new spirit of optimism yesterday at The Byre Theatre, St Andrews as it re-launched itself with the emphasis on partnership, dance and physical theatre.

The theatre is no longer in a position to produce its own work but has come up with a varied programme of performance and going out into the community.

Board chairman Dr Frank Quinault acknowledged that 2006 had not been a happy year for them as there had been a cut of £300,000, around 30%, of their funding from the Scottish Arts Council.

However, the building debt had been cleared by the SAC and they now faced the future with a clean balance sheet and continuing support from Fife Council.

They were facing the “daunting but exciting” future with a new chief executive Jacqueline McKay, several co-productions and new resident artists.

The education officer has gone as part of the cuts but there will still be something for young people in the youth group now to be known as Byre Youth Theatre, he said.

Jacqueline McKay said that while the funding shoestring may have been shortened, the creative impulse had got bigger.

She said they were delighted The National Theatre was coming with its award-winning family show Wolves in The Walls.

The restaurant has been adapted into a cafe/bistro and a children’s space has been created.

There was existing skills and enthusiasm in the building upon which they hoped to capitalise, and the building itself offered excellent opportunities with the auditorium and Levy studio.

She welcomed dancer David Hughes and his company and physical theatre performer Al Seed, who come to the Byre through the SAC partners programme.

They will be going out and about workshopping with local people, school children and students.

National Theatre of Scotland artistic director Vicky Featherstone welcomed the opportunity to work in partnership with the Byre, saying it was only Jacqueline’s tenacity on getting Wolves In The Walls that made them re-mount it.

They were to bring productions for grown-ups and children, first Molly Sweeney, performed by the NTS six-strong ensemble, and a children’s piece, A Sheep Called Skye, would be taken to Auchtermuchty and Crail.