Minister throws lifeline to WMC and commits increased funding to the arts in Wales
An immediate cash boost and a 200% increase in its annual revenue funding is set to secure the future of the Wales Millennium Centre (WMC). This follows an announcement by Heritage Minister, Rhodri Glyn Thomas, that the Welsh Finance Minister has agreed to pay off its £13.5m loan using funds accumulated from Welsh Assembly Government (WAG) underspends in previous years. The organisations annual grant will rise to £3.7m next year and each succeeding financial year to 2010/11. Reflecting on the success of WMC, Rhodri Glyn Thomas said, The additional funding I am announcing today is intended to ensure that the Centre can consolidate its iconic status and continue to deliver benefits for the whole of Wales&. the funding model put in place in 2001 now needs to be revisited to reflect the actual experience of running the Centre rather than the forecasts available before it opened.
It had recently become clear that there was no prospect of the Centre being able to pay off the loan, which was guaranteed by the Government, and that the cost of servicing that debt remained one of the obstacles that stood in the way of the Centre becoming financially sustainable (see AP issue 156). Responding to the WMC funding announcement, Peter Tyndall, Chief Executive of the Arts Council of Wales, said, We welcome the decision of the Assembly Government to make this further investment into the success of the Wales Millennium Centre& [which is] vital to Wales both as a cultural facility and also because of its impact on the local economy and promoting Wales abroad& We look forward to taking on [an] enhanced role in assisting in the relationship between the Wales Millennium Centre and the resident organisations that are based there.
In his statements, the Minister also made it clear that the WMC windfall would not be at the expense of the arts budget and arts outside of Cardiff, as each of the cultural organisations for which he is responsible will also receive an increase in funding. He went on to reveal a broad funding package in the WAG draft budget worth an additional £36m over the next three years, to support its commitments on culture, tourism and the arts. The funding will cover a £4.5m merit pot which will be made available to high-performing arts organisations and individuals, to encourage and reward their innovation and pursuit of excellence. An additional £2.25m has been set aside for the development of an English language theatre company for Wales. But the Minister warned that the increase in funding comes with strings attached. He is keen to see each part of his portfolio working together to get the most out of the extra cash, and new priorities will include aligning the work of Visit Wales, the Assemblys tourism arm and Cadw, the historic environment service in implementing a Sustainable Tourism Action Plan and refreshing the Cultural Tourism strategy for Wales.
The delivery of the WAGs ambitions for the arts will be directed through the Arts Strategy Board, which is tasked with implementing the recommendations of the Stephens Report (see AP issue 135). The first meeting of the Board has now taken place, at which the Arts Council of Wales was tasked with working with WAG to develop proposals for beacon companies by February 2008.