Everyone who works in local government, and every elected official who decides policy, recognizes the need for a vibrant, inclusive, funded and active cultural life. We know it supports the welfare of residents, provides employment and attracts visitors to our towns, cities and countryside.
We have done and will continue to do all we can to support the sector, but there is no getting away from the fact that things are tough for councils at the moment.
An analysis by the Local Government Association (LGA) in October found that councils in England face a £4bn funding gap between this year and next just to maintain services. The Government has announced an extra £600m to Parliament for 2024/25, but Parliament still faces one of the most difficult budget-setting cycles in history.
We need to do things differently, both locally and nationally.
Largest single investor in the arts sector
Despite this, local authorities remain one of the largest single investors in arts, culture, tourism and heritage, with £650m a year in libraries and £430m a year in museums, heritage and the arts. It spends more than £1 billion directly on cultural services, including
Our leisure centers are visited 165 million times by 8.9 million people and three quarters of our grassroots clubs rely on them. 7.6 million people use libraries, making over 40 million visits, and 33% of all adults use library websites at least three to four times a year.
These are tangible community services that are valued and loved. We know that if we lose them, we will accumulate problems for the health and well-being of our future residents, stunt local economic growth, and deprive ourselves of important routes to learning.
Budget rounds encourage risk-averse decision-making
Despite recent reports, no council has cut culture by 100%, but what we deliver is changing. Subsidies for community organizations and local cultural organizations were slashed, and even core cultural services such as libraries were cut.
In recent years, councils have received funding from the government for a period of one year. Typically, interim financial results are released in late December, final financial results are released in February, and based on this information Congress finalizes the budget by early March, and by April 1st. You need to be prepared.
In this fast-paced environment, it can be difficult to come up with creative solutions to reduce shipping costs. But we will try.
Parliament is also the only part of the public sector that is legally required to set a balanced budget each year. That’s good because it makes us financially responsible, but it also encourages risk-averse decisions. You cannot assume that more money will be available or that your income will increase next year.
24% reduction in actual terms
Our ‘core purchasing power’ to deliver our services includes government grants, business retention rates and council tax, with real terms reduced by 24% from 2010/11 to 2024/25. Ta. Much of that has been absorbed behind the scenes through staff reductions, new ways of doing things, and efficiencies through automation.
But like everyone, Congress is affected by inflation and rising energy prices. Last year, the annual cost of heating a single swimming pool rose by around £30,000 overnight, and while many libraries functioned well as warming hubs, it also came with heating costs.
However, increasing demand for services such as social care and temporary accommodation for the homeless is putting significant strain on council budgets. Spending on social care for adults and children increased, accounting for an average of 63.9% of budget spending in 2023/24 by parliaments responsible for social care. In some areas, like Bradford, this amounts to 87% of the budget.
This means we spend significantly less on other services than we did 10 years ago. Councils are increasingly having to bid for funding themselves, often over very short periods of time, which can preclude effective engagement with communities and impact on their impact.
So what does this mean for the cultural sector?
In many places, subsidies have been reduced or shortened when Congress can no longer confidently guarantee that funds will be available for several years.
We know this poses challenges and the ‘start-stop’ effect can lead to community disengagement and anxiety for staff and freelancers. There has been a huge exodus of freelancers from the creative sector during the coronavirus outbreak, and there are concerns that even more will leave. This has a negative impact on the health and diversity of the industry, but it also has a negative impact on residents, as it reduces choice, increases travel to remaining areas, and leads to less inclusion.
But is it all hopeless and gloomy? No, we remain the largest public investor in culture, and the money exists in this system. We just need to utilize that funding as much as possible. It means using existing assets such as libraries, theaters, parks, and museums as cultural hubs of activity and expanding their scope to provide low-cost experiences for people who cannot access culture, especially in this time of tight living costs. means. Or free activities.
Council needs support from cultural sector
Councils like West Devon are also investing in a strategic approach. We work together with our partners to strengthen and strengthen our local cultural offering, attracting both domestic and international tourists. These strategies are expected to strengthen the region’s ability to attract funding from grant makers and investors and provide greater security for local cultural workers.
The industry recognizes the funding pressures facing Congress and needs your help in lobbying the government for the changes needed to stabilize the funding situation. But we also need your creativity and outside perspective on how to do things differently. As well as cultural services, to help people remain more independent and reduce their need for social care, to support families who are struggling and to provide positive experiences for people who are unemployed. What can you do?
Together, we can get through this difficult time and continue to find ways forward to support our communities and creative teams.
Councilor Liz Green is Chair of the LGA’s Culture, Tourism and Sport Committee.
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