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New funding for community arts and investments to raise the national and international profile of Wales sat alongside cuts to six organisations and standstill funding for many more as the Arts Council of Wales (ACW) announced its spending plans for 2008/09. In addition to Welsh Assembly Government funding for the English Language National Theatre for Wales, and a ‘merit pot’ of £1.5m for beacon companies and individuals, ACW announced a new £125,000 community arts initiative for the Heads of the Valleys and £43,000 for community arts in Cardiff and Barry. At a national level, £750,000 has been earmarked to develop Wales’s presence at the 2009 Venice Biennale, and £750,000 of Lottery money has been awarded to the Wales Film Agency. ACW Chief Executive Peter Tyndall said, “We have been delighted to announce new areas of growth for next year, but this inevitably means we have had to look for savings from elsewhere in the portfolio.”

The names of the six organisations losing their funding have not been published. ACW cited client confidentiality, saying that “Disclosure of their identity may… affect any information considered as part of any appeal they may wish to make.” However, St Donats Arts Centre has told AP that it stands to lose its grant of £45,000, probably forcing it to close this July. The venue hosts the Vale of Glamorgan Music Festival and the annual International Storytelling Festival, Beyond the Border, which is the largest of its kind in the UK and was funded last year by the Welsh Assembly Government. Janet Smith, General Manager of St Donats Arts Centre, said that “ACW’s decision comes at a time when St Donats Arts Centre is delivering ACW’s strategic priorities more than at any time in its history.” David Ambrose, Director of Beyond the Border, said, “A very good regional arts centre, plus two national festivals are being potentially sacrificed to the London Olympics.” St Donats, along with the other organisations losing funding, have 28 working days to appeal against ACW’s decision.

ACW says that decisions to withdraw funding were “based on a rigorous set of criteria that included the future sustainability of the organisation and relevance to the strategic objectives and priorities of the Council”, aiming to focus investment “particularly Wales’s most deprived areas”. Beacon company status, conferring the right to apply for ‘merit pot’ funding, will be decided through evaluation and eligibility criteria. Draft criteria, which were agreed by ACW’s Council last month, have been published on its website for consultation and feedback before proposals are made to the Arts Strategy Board on 21 February.