Arts charities optimistic despite falls in corporate and individual support

Fundraising | Celina Ribeiro | 28 Apr 2009

Cultural organisations are suffering more from shrinking corporate and individual giving, yet remain more optimistic than others about income levels in the near future, according to a new report.

While charities in general have reported a year-on-year increase in corporate sponsorship of 33 per cent and a 24.6 per cent rise in gifts and grants from companies, cultural organisations have seen only a 17.5 per cent growth in sponsorship and a 16.3 per cent jump in gifts. However, nearly four in ten expect corporate sponsorship to rise in 2009, according to the Arts Quarter survey of more than 300 organisations conducted in January and February.

In terms of individual giving, the report shows a quarter of cultural organisations have recorded a fall in individual donations of less than £1,000 compared with just 13.6 per cent of ‘non-cultural’ groups. Non-cultural organisations are also more optimistic about the future of individual giving, with a third predicting it will increase over the coming year in contrast to the 14.1 per cent of cultural bodies.

But on the whole, cultural charities were more confident than their non-arts counterparts, with only 36 per cent predicting a drop in income over the coming year in comparison to 49.3 per cent of other charities. Around a third of both types of organisation predict there will be no change in revenue.

Theatres in particular showed continued strength with two-thirds reporting an increase in income from ticket sales, although the results were muted by declines in revenue from other trading such as merchandise and catering.

A significant proportion of the charities responding to the survey reported an increased or renewed emphasis on fundraising through the economic storm. However the majority also said they would be making internal cost savings to help guide them through.

Arts bodies in the UK are having a smoother ride than their European counterparts in relation to European funding. A recent report by the European Commission found that 60 per cent of British organisations applying to the European cultural programme for grants were successful – the highest rate of any country with more than one project.

Who's Who: Celina Ribeiro

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