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£88 million cut to the DCMS budget

On 24 May, the Coalition Government announced a £6.2 billion package of cuts to Government spending for the current financial year as a first step towards reducing the UK’s £156 billon budget deficit. The Department for Culture Media and Sport have been asked to make an £88 million saving.

Of the £88 million cut to the DCMS budget, Arts Council England has been asked to make a saving this year of £19 million. This represents a four percent cut to Arts Council’s budget, coming on top of a previous in year cut of £4 million agreed under the last Government, making £23 million the total savings ACE has to find this year. DCMS has announced, however, that Arts Council will be allowed to draw upon its historic reserves (something it has not previously been allowed to do) to help reduce the size of any budget shortfall.

Arts Council Chair, Dame Liz Forgan, has said, however, that ACE would do its ‘utmost’ to minimise the impact of the cuts on the front line but she could not guarantee that there would be no direct effect on the grants to funded organisations. Her response to the cuts can be read at http://press.artscouncil.org.uk/content/Detail.aspx?ReleaseID=1023&NewsAreaID=2

For the Treasury press release on the spending cuts, visit www.hm-treasury.gov.uk/d/press_04_10.pdf