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Government promises of an average annual increase of funding to the Department for Culture Media and Sport (DCMS) of 2.3% until 2007/08 have been met with dismay by Arts Council England Chairman Sir Christopher Frayling, who has described the spending review announcement as ?bad news for culture?. Writing for ArtsProfessional (p16) he warns of cuts ahead for arts organisations as unavoidably large demands, such as Liverpool capital of culture, will eat into an inflation-only funding package for the arts
Although details of the allocation of funding to the different areas of DCMS activity will not be finally determined until the autumn, the Government has announced its priorities over the next three years. Considerable emphasis is placed on sport and the effect it can have on the health of the nation, with funding earmarked for the provision of sports facilities, participation and volunteering. Museums have also fared well, with funding promised for the national museums? and galleries? capital assets, to enable them to maintain their commitment to free access. Annual funding for the National Heritage Memorial Fund will be doubled by 2007/08, compared to 2004/05; and the Value Added Tax (VAT) refund scheme will be extended to university museums. For the arts, there is a promise of ?security of funding for arts organisations?, and an announcement that the Creative Partnerships scheme will be extended to enable children in 36 deprived areas to take part, though this had already been announced by the DCMS in June 2003.

For Sir Christopher Frayling?s analysis of implications of the spending review, see p16.