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Arts Funding: Statistics

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Arts Funding: Statistics BRIEFING PAPER Number CBP 7655, 27 April 2016 By Noel Dempsey Arts Funding: Statistics Inside: 1. Arts Council of England 2. Scottish Arts Council (Creative Scotland) 3. Arts Council of Wales 4. DCMS National Museum and Gallery Funding 5. Appendix I: Arts Council of Great Britain, 1955-1994 6. Appendix II: Reference tables www.parliament.uk/commons-library | intranet.parliament.uk/commons-library | [email protected] | @commonslibrary Number CBP 7655, 27 April 2016 2 Contents Summary 3 1. Arts Council of England 4 1.1 ACE Grant-in-Aid income and arts expenditure 4 1.2 National Portfolio Organisations 5 1.3 ACE Lottery income and grant commitments 7 2. Scottish Arts Council (Creative Scotland) 8 2.1 Creative Scotland Grant-in-Aid income and arts expenditure 8 2.2 Creative Scotland Lottery income and grant commitments 9 3. Arts Council of Wales 10 3.1 ACW Grant-in-Aid income and arts expenditure 10 3.2 Revenue Funded Organisations 11 3.3 ACW Lottery income and grant commitments 11 4. DCMS National Museum and Gallery Funding 13 5. Appendix I: Arts Council of Great Britain, 1955-1994 16 5.1 ACGB Grant-in-Aid income 16 5.2 ACGB Grant-in-Aid income: England, Scotland and Wales 17 5.3 ACGB Total Arts Expenditure 19 5.4 ACGB Total Arts Expenditure: England, Scotland and Wales 20 6. Appendix II: Reference tables 22 Cover page image copyright: Photo 29/365: Back to work by James Robinson. Licensed under CC BY 2.0 / image cropped. 3 Arts Funding: Statistics Summary Since 1994 responsibility for arts funding and promotion across Great Britain has been primarily split between the UK, Scottish and Welsh governments. Each relevant government department generally operates on an “arm’s length basis” for arts funding. Separate non-departmental public bodies receive funding (called Grant-in-Aid) from their respective government, as well as a share of proceeds from the National Lottery Distribution Fund, and are responsible for the arts within their nation. The exception to this system is the direct funding the UK government provides to national museums and galleries. Prior to 1994 there was one funding body, the Arts Council of Great Britain (ACGB), with responsibility for distributing funding for the arts along a similar basis as today’s bodies. This note will examine the funding and expenditure of arts councils within Great Britain from 1994 to the present. Additional analysis of direct UK government funding to national museums and galleries will also be presented. Analysis of ACGB arts funding and expenditure from 1955 to 1994 is included as an appendix. There may be other funding streams for the arts from government sources, although in each nation the non-departmental public body responsible for arts funding is the primary organisation through which the arts are funded. The primary sources for this paper are the annual reports and accounts for each arts council. Detailed tables, along with clear footnotes, are supplied in Appendix II. All graphs presented in the body of this paper have been created from data in Appendix II. Key Statistics: Arts Council England: • Real terms Grant-in-Aid funding in 2015/16 decreased by -1.5% (£7.2m) compared with 2010/11 • Real terms arts expenditure in 2015/16 fell by -3.6% (£16.8m) compared with 2010/11 • 36% of National Portfolio Organisations are based in London and receive 24% of all NPO funding Creative Scotland: • Real terms Grant-in-Aid funding in 2014/15 decreased by -7.4% (£4.1m) compared with 2010/11 • Real terms arts expenditure in 2014/15 fell by -11% (£5.5m) compared with 2010/11 Arts Council of Wales: • Real terms Grant-in-Aid funding in 2014/15 decreased -12% (£4.5m) compared with 2010/11 • Real terms arts expenditure in 2014/15 fell by -12% (£4.7m) compared with 2010/11 Number CBP 7655, 27 April 2016 4 1. Arts Council of England The Arts Council of England (ACE) was created in 1994 from the division of the ACGB. The new organisation had much the same remit as the old, but rather promoting art across the whole of Great Britain the focus would be solely on England. At the same time ACE was selected to become one of the distributary bodies for the new National Lottery Distribution Fund to help further finance and promote the arts in England.1 ACE still received Grant-in-Aid financing from the UK government. 1.1 ACE Grant-in-Aid income and arts expenditure During 1994/95 ACE was in receipt of over £296m GIA from the UK government. By 2015/16 ACE received over £462m – an increase of around 56% and an average annual increase of 2.5%. Expenditure towards the arts amounted to over £286m in 1994/95. In 2015/16 ACE spent over £449m. This represents a rate of increase on par with increases in GIA income from the government.2 ACE Grant-in-Aid income and arts expenditure (2014/15 prices) £600 £500 Millions £400 £300 £200 £100 £0 1994/95 1998/99 2002/03 2006/07 2010/11 2015/16 ACE GIA Income ACE Arts Expenditure Total GIA and arts expenditure increased since 1994, although in its most recent history ACE’s GIA has decreased in real terms as has its expenditure on the arts. Between 2009/10 and 2011/12 the annual GIA government funding that ACE received decreased by over £84m (17%). Funding did increase the following year, although since then it has decreased every year to 1 When reporting their financial position the arts councils are required to keep Grant- in-Aid accounts separate from Lottery funding accounts due to differing accounting practices. As such this paper will not combine figures from the Grant-in-Aid and Lottery accounts for totals of income or arts expenditure. 2 Because only Grant-in-Aid money received direct from government is considered here and not the total income that ACE received during a financial year, it is not possible to calculate total arts expenditure as a proportion of total income. 5 Arts Funding: Statistics the present. Compared to 2009/10 ACEs 2015/16 annual GIA was around £37m (7%) lower and art expenditure £25m (5%) lower. Per capita GIA income for ACE has increased from around £6.15 per person in 1994/95 to around £8.45 in 2015/16. Per capita arts expenditure increased from £5.93 in 1994/95 to around £8.20 by 2015/16. In 2006/07 GIA income and arts expenditure for ACE reached its peak and was equivalent to £9.98 and £9.38 respectively. ACEs annual reports included details on the value of grant funding3 by regional office (see Table A6 appended). In 2001/02 the regional offices were subsumed into ACE and grant information provided by region. From 2003/04 to 2012/134 the London area repeatedly received the greatest amount in grants per capita. In 2003/04 residents in the London area received around £23.58 per capita in grants awarded. By 2012/13 this had reduced to £20.32 per capita. The graph below shows grant funding by region per capita for 2003/04 and 2012/13.5 Per capita grant funding by region (2014/15 prices) Yorkshire West Midlands South West South East North West North East London East Midland East England £0 £5 £10 £15 £20 £25 2003/04 2012/13 1.2 National Portfolio Organisations ACE offers organisations an opportunity to apply to be a National Portfolio Organisation (NPO)6 – that is an organisation that will receive regular annual funding from ACE. Organisations which become an NPO are invited to complete a survey assessing their organisational profile, 3 All grants and funding offered to all organisations. 4 It is not possible to generate per capita estimates for 2013/14 (the latest year which regional breakdowns were shown in the reports) because of changes in how ACE reported regions. It is not known how what areas were combined and how and so it would not be possible to generate accurate mid-year population estimates for these regions. 5 Does not include grant funding awarded nationally. In 2013/14 geographic regions presented by ACE were altered. It was not clear as to how the regions were re- assigned and so grant funding by region per capita in 2013/14 could not be presented. The 2014/15 ACE annual report did not include a regional breakdown of grant funding. 6 Major Partner Museums (NPOs focused on museums) are not considered in this section. Number CBP 7655, 27 April 2016 6 financial statements, number of performances and exhibitions etc. This data is collected to help ACE asses its NPO funding decisions. In 2014/157 683 NPOs answered the annual survey supplied by ACE. The graphs below show the distribution of NPOs and funding by region and art form in England. The London region has the greatest number of NPOs (36%) and received the second largest proportion of ACE NPO funding. The region with the lowest number of NPOs was East England (4%) and it received the second lowest level of funding (4%). Only 1% of NPOs were deemed to have a national importance but these received by far the greatest amount of funding (38%). Distribution of NPOs by region, 2014/15 National Yorkshire West Midlands South West South East North West North East London East Midland East England 0% 10% 20% 30% 40% Percentage of NPOs Percentage of total NPO ACE funding Distribution of NPOs by art form, 2014/15 Visual arts Theatre Not artform specific Music Literature Dance Combined arts 0% 10% 20% 30% 40% Percentange of NPOs Percentage of total NPO ACE funding 7 Because the amount of NPOs responding to the annual ACE surveys changes each year it is not possible to directly compare years.
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