Small arts businesses to bear brunt of council funding cuts
SMALL businesses in Birmingham’s arts sector could see their council funding cut completely as the local authority slashes its support for the arts by £3.5million over the next four years.
A leaked council report seen by TheBusinessDesk.com, shows 16 arts organisations out of 22 who receive grants from Birmingham City Council having all support withdrawn by 2013/14. The six that remain will see their budgets reduced by up to 28%.
A council spokesperson said local authority officers had been asked to come up with options to help the arts and leisure department meet its share of the cuts programme announced by council chief executive earlier this week. The leaked report represented just one of a number of scenarios, she said.
Eleven companies will be hit immediately, including music promoter Birmingham Jazz, Stan’s Cafe, the theatre company whose cutting-edge ‘Rice Show’ won international acclaim, and small publishing house Tindal Street Press, which publishes several award-winning authors.
- Download the document here: BCC arts cuts
They face losing grants of between £10,000 and £19,000. The council’s contribution to arts organisations of this size typically represents around 20% of a group’s total revenue, but funding from other sources such as the Arts Council is also being squeezed.
Arts consultant Helga Henry of Fierce Earth said some companies would find it hard to recover. “This will be a real body blow to some,” she said. “It could be life threatening to some if they’re unprepared.”
Controversial community arts centre The Drum in Newtown will see its budget cut by 17% to £435,000 in the next two financial years, and will lose all its funding in 2013/14. Similarly, world-renowned Birmingham choral group Ex-Cathedra gets its council funding cut by 24% to £55,000 next year, after which it will receive nothing at all.
The biggest single loser is Birmingham Opera Company, which sees its £205,000 budget cut to £185,000 next year before losing all its grant in 2012/13. The company fought a firce battle with Arts Council two years ago when it was threatened with the loss of its support.
The city’s cultural ‘crown jewels’ come off more lightly, however, with the CBSO, Birmingham Royal Ballet, The Rep and Town Hall Symphony Hall keeping their council support but seeing it reduced by up to 28%.
The council spokesperson said: “Chief Executive Stephen Hughes earlier this week published a consultation document on the Council Business Plan 2011/12 – 2014/15. In that document it set out reviewing support for arts organisations, in addition to existing savings of £0.525m in 2011/12. These savings are identified as £1.0m in 2011/12 and £2.5m by 2014/15. But the document is draft, not the final version and subject to consultation.
“In the same way any additional documents detailing how those savings might be made will look at a whole range of scenarios, for discussion and consultation at a senior level. But that does not mean that any or all of the proposals in draft discussion documents will be included in a report due to go to Cabinet on 13 December 2010.
“We have been asked for a 30% target in this area by the Government and the leadership of the council needs to understand clearly all the possible implications of making that saving.”
