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ACE reveals new funding system

Published 4 November 2010

Arts Council England (ACE), the national development agency for the arts, today announced the “biggest change to arts funding in a generation”.

The overhaul of the system by which organisations receive funding is based on a new 10-year plan that aims to expand the number and diversity of people who can experience the arts and promote talent, artistic excellence, innovation and sustainability.

Major changes to the system by which funding is awarded include an open-application process, flexibility in funding agreements between two and six years and agreements based on clear criteria and shared goals. ACE is also to introduce two types of funding relationship, which it has defined as ‘strategic’ funding for organisations that “take responsibility for the development of the arts and demonstrate leadership at a national or local level” and ‘programme’ organisations funded purely to produce outstanding artistic work.

The unveiling of the new funding system follows swiftly on from the announcement of the government’s spending review, which resulted in nearly 30% cuts to ACE’s budget.

Speaking about the new funding process, Liz Forgan, Chair of ACE, said: “While the funding cuts will have a severe impact on our budget, they will not dent the shape of our ambitions for the arts and audiences in this country. We are determined to take a long-term view and to achieve the goals set out in our new 10-year strategic framework.”

However, ACE has confirmed that the new funding agreements will see its portfolio of funded arts organisations fall by more than 100 by 2015, arguing that this is “preferable to maintaining a large portfolio that will be progressively debilitated by cuts over the course of the settlement”.

Applications are now open for organisations wishing to receive funding from 2012, with a deadline of 24 January 2011.

MA

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