Arts investment contributes up to £4 to the local economy for every £1 spent, according to a new report published by the Local Government Association (LGA).
The report, entitled Driving Growth Through Local Government Investment in the Arts, found that the arts sector provided nearly a million jobs, and the UK’s 67,000 cultural businesses contributed £28bn to the UK economy every year.
The report revealed that councils invest about £800m annually in the arts and museums infrastructure.
In one case study, the report showed how York Museums Trust, which was losing about 37,000 visitors a year before it formed a partnership agreement with the council in 2002, now attracts 600,000 visitors and brings in £6.4m a year, offering a return on investment of about £10 for every £1 spent by the council.
In a statement, the LGA said: “Despite the government cutting council funding by 33%, many are, for now, actively protecting their arts budgets. This research shows how short-sighted it would be for the Treasury to make further cuts to local government grants.”
Recent figures released by the Department for Communities and Local Government showed that arts funding had proved a soft target for many councils, however, with cultural spend by local authorities in England falling 7.8% in 2011-12.
In another case, Newcastle City Council was forced to row back on plans to axe its entire culture budget following a public outcry.
Flick Rea, chair of the LGA’s culture, tourism and sport board, said: “A theatre, museum or festival draws visitors who do not simply spend money on their ticket or entrance fee, but also buy meals in local restaurants, go to local shops or perhaps stay in hotels as part of their visit.
“These people might never have visited that location without the pull of its cultural attractions.”
The LGA and Arts Council England recently signed a statement of purpose committing themselves to supporting councils that want to boost growth through the arts.
The report, entitled Driving Growth Through Local Government Investment in the Arts, found that the arts sector provided nearly a million jobs, and the UK’s 67,000 cultural businesses contributed £28bn to the UK economy every year.
The report revealed that councils invest about £800m annually in the arts and museums infrastructure.
In one case study, the report showed how York Museums Trust, which was losing about 37,000 visitors a year before it formed a partnership agreement with the council in 2002, now attracts 600,000 visitors and brings in £6.4m a year, offering a return on investment of about £10 for every £1 spent by the council.
In a statement, the LGA said: “Despite the government cutting council funding by 33%, many are, for now, actively protecting their arts budgets. This research shows how short-sighted it would be for the Treasury to make further cuts to local government grants.”
Recent figures released by the Department for Communities and Local Government showed that arts funding had proved a soft target for many councils, however, with cultural spend by local authorities in England falling 7.8% in 2011-12.
In another case, Newcastle City Council was forced to row back on plans to axe its entire culture budget following a public outcry.
Flick Rea, chair of the LGA’s culture, tourism and sport board, said: “A theatre, museum or festival draws visitors who do not simply spend money on their ticket or entrance fee, but also buy meals in local restaurants, go to local shops or perhaps stay in hotels as part of their visit.
“These people might never have visited that location without the pull of its cultural attractions.”
The LGA and Arts Council England recently signed a statement of purpose committing themselves to supporting councils that want to boost growth through the arts.