Arts Council England funding changes are set to impact nearly 1,000 arts and culture organisations across the UK. This announcement comes as part of a broader restructuring process under the new Labour government and an ongoing independent review of the agency’s public subsidy distribution.

The changes involve an extension of the current Arts Council England funding programme until 31 March 2028. Initially planned to end in 2027, the investment programme—known as the National Portfolio—distributes £446 million annually to 990 organisations, including museums and visual arts groups. However, instead of automatic renewal, these organisations must now reapply for a single additional year of funding.

While the extension aims to offer continuity, the new application requirement has drawn criticism. One UK museum professional expressed concerns, saying, “I thought the idea was to extend existing agreements, not make everyone apply again just for a year.”

The decision is linked to a government-led independent review of Arts Council England by Baroness Margaret Hodge. The review will assess regional inequality and the effectiveness of how public funding is allocated.

An Arts Council England spokesperson addressed concerns, stating: “We understand the application process requires effort, and we’re working to simplify it as much as possible.”

Additionally, future funding levels beyond 2026 remain uncertain. The UK government’s recent spending review extends departmental budgets to 2029, including a 1.4% cut to the Department for Culture, Media and Sport, which directly funds the Arts Council.

As these Arts Council England funding changes take effect, many in the arts community await further clarity on how future funding rounds will be structured.