Adrien Brody and Cate Blanchett among stars attending Olivier Awards
The annual event, which celebrates theatrical productions, is being co-hosted by British singer Beverley Knight and Pose star Billy Porter at the Royal Albert Hall.
Nominated in the best actor category is Hollywood star Brody, who won his second Oscar earlier this year for immigration story The Brutalist.
Brody, who made his debut West End performance in The Fear Of 13, about a man on death row for a crime he did not commit, is up against Conclave actor Lithgow for his portrayal of Roald Dahl in Giant, and The Morning Show actor Billy Crudup in conman thriller Harry Clarke.
They will face competition from I May Destroy You star Paapa Essiedu for his role in Death Of England: Delroy, about a black working class man confronting his relationship with Britain, and movie and TV star Mark Strong for Greek tragedy Oedipus.
Lithgow, 79, was asked how he feels about playing Professor Albus Dumbledore in a new Harry Potter TV series.
He joked he had 'never heard' of JK Rowling's headmaster of Hogwarts.
Lithgow told the PA news agency: 'For the moment, I'm concentrating on one giant then I move on to another.'
The theatre awards are taking place amid discussions about dynamic pricing, which has seen soaring ticket prices on the West End.
Strong told PA: 'This dynamic pricing is obviously a new thing, and what worries me about it is that it will prevent young people coming to the theatre.
'It will prevent people who can't afford it from coming to the theatre. And the theatre should be for everyone.'
At the Oliviers, musical Fiddler On The Roof scored the most nominations with 13 nods, including best musical revival.
Kyoto, about the 1997 climate protocol of the same name, love story Shifters, Giant, about children's author Dahl grappling with whether to make a public apology, and Annie Ernaux memoir The Years are both tied for most nominated play with five nods each.
Meanwhile, British stars Lesley Manville and Indira Varma are up for the best actress award for playing the same role of Jocasta in different productions of Oedipus.
Also nominated is Joy actress Heather Agyepong in Shifters, Chernobyl's Rosie Sheehy in Machinal, about a woman who was executed for her husband's death, and comedian Meera Syal for family drama A Tupperware Of Ashes.
Other stars nominated include Dame Imelda Staunton, known for Harry Potter, who is up for best actress in a musical for her performance in Hello, Dolly!, and Paddington star Ben Whishaw for best supporting actor in Bluets.
Emma actress Romola Garai will also compete against herself for supporting actress in Giant and The Years.
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