The Grand can currently open to 322 people per performance under Covid-19 guidelines, but chiefs have said the programme in January, February and March 2021 needs the full audience in order to make a profit.
The majority of the programme has been rescheduled to later dates in 2021, with only a handful of productions being completely cancelled.
CEO Adrian Jackson said it was "devastating" news for staff and for theatre-goers.
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He said: "We genuinely hoped that the start of the year would see The Grand return at full capacity, however we must face facts that the country and indeed the world are not yet in a position to fully open. It is another devastating blow, but we remain completely optimistic about the future.
"This news does not mean we are keeping the doors closed. We are planning to open before Christmas with a film screening of A Christmas Carol and a children’s production of Dear Santa. We are in negotiations to deliver socially distanced performances during January, February and March including our involvement with Wolverhampton Literature Festival and a Bollywood Cinema Season.
"As a charity, we continue to provide our vital community work. I am so pleased that our Intro To Pantomime schools tour will be out on the road for a three weeks. Our Memory Cafés are being delivered digitally creating a crucial service for people living with dementia."
"I would like to sincerely thank everyone once again for the continued support shown to this iconic building."
For the complete listings of reschedules and cancellations customers should visit grandtheatre.co.uk
Customers who have already booked will be contacted by The Grand by email or post.