Coventry City of Culture Trust in financial difficulty
Coventry City of Culture Trust has said it faces a “difficult financial position” and is “seeking accountancy, contingency, and insolvency advice as is appropriate”.
The Trust is supposed to oversee a three-year legacy programme for Coventry following its tenure as City of Culture in 2021, but it has recently held talks with administrators.
Coventry City Council, which helped the Trust with a £1m loan last year, said it was “obviously concerned”.
Accounts recorded for the end of the financial year in March 2022 showed a funding shortfall of around £1.5m, with £20.6m of expenditure and £19.1m of income.
The total wage bill added up to just under £3.8m, having increased by £1.2m from the previous financial year.
A Trust spokesperson said: “The Coventry City of Culture Trust remains in a difficult financial position with ongoing cashflow issues.
“We continue to proactively work with our partners, stakeholders, funders and creditors to find solutions to these challenges and thank them for their support during this period.
“The trust’s work continues, with our first legacy commission Cosy Creative continuing this February, as well as captivating visitors in the multi-award-winning Life and Work of Frida Kahlo at The Reel Store.”
A spokesperson for Coventry City Council said: “Our year as UK City of Culture brought many positives including securing over £90m in external funding to deliver the much-improved public realm work in the city centre and investment in many of the city’s cultural and heritage venues.
“However, we are obviously concerned by the emerging news of the further financial challenges that the City of Culture Trust face. We are talking with the Trust about these challenges, along with other partners, as they seek to find solutions to minimise the financial impact to deliver the legacy that the city needs.”