FactCheck: Is the Arts Council at arms length?

Last Modified: 23 Apr 2007
By: Channel 4 News

Tony Blair seemed to think so when he spoke at the Tate Modern last month...

The claim

"Critically, the Arts Council operates as an arms-length body so the state is placed in the position of doing what it has historically done well - funding - and not what it has historically done very badly - control of the arts."
Tony Blair, cultural speech at the Tate Modern, 6 March 2007

The background

Speaking to an audience of cultural luminaries at the Tate Modern in March, Tony Blair's message was clear: the Arts Council operates at arm's length from government in deciding arts funding and strategy. Yet in post-devolution Wales the situation is far from straightforward.

In principle, it's true that the Arts Council of Wales (ACW) does run on an arms-length basis. Under its Royal Charter, the organisation is responsible for funding and developing the nation's arts. It allocates grant in aid from the Welsh Assembly government and distributes Lottery arts funding for Wales.

But following a move instigated by Wales' first minister and Welsh Labour leader Rhodri Morgan in 2004, as part of his drive to disband quangos and reform public services, the ACW looked all set to lose strategic and policy making responsibilities.

A new cultural strategy

His initiative included the setting up of a new culture board with members from the ACW and other arts organisations. Chaired by the minister, it would assist in the development of a culture strategy for Wales.

Culture minister Alun Pugh went on to announce plans to take over direct funding of Wales's six biggest arts companies: Welsh National Opera, BBC National Orchestra of Wales, Diversions Dance Company, Clwyd Theatr Cymru, Academi and Theatre Genedlaethol. It meant the ACW would have been left handing out grants to the smaller arts organisations in Wales.

Opponents claimed this would breach the principle of arms-length funding of the arts and could lead to political interference. In February 2006, opposition parties and two independent assembly ministers (AMs) united to defeat the plan.

The political controversy sparked the creation of a public arts review, which was tasked with examining the role of the ACW and the nature of its relationship with the assembly government.

The analysis

Among its findings, published in November 2006, the Stephens Review highlighted "confusion about who sets [arts] strategy, who decides on prioritisation and who leads the overall ambition" in Wales.

Careful to avoid apportioning blame, the review - chaired by Professor Elan Closs Stephens - described the situation as "the inevitable after-effect of the relationship between a devolved government and an Assembly Sponsored Public Body" (ASPB).

It rejected the assembly government's plans to take over the funding of Wales' six largest arts companies from the ACW. Instead, it proposed retaining the arms-length ACW administration and the culture board, and creating a new arts board to oversee arts strategy in Wales.

Chaired by the Culture Minister, the Arts Strategy Board would most likely include representatives from the ACW, assembly government, local government and the private sector.

Politicians of all affiliations, the ACW and the assembly government lined up to praise the Stephens Review recommendations. In a statement, the ACW described its confidence that "the proposals, taken as a whole, will offer a period of stability for the arts in Wales".

Opposition parties could take comfort from the knowledge that the culture minister would not be directly responsible for arts funding. The culture minister Alun Pugh, who would now have a seat at the table during arts strategy and funding discussions, welcomed the fact that "the report espouses change and does not defend the status quo".

FactCheck rating: 2

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The verdict

So, for the time being at least, Tony Blair's point is correct, with the Stephens Review reaffirming the arms-length principle for the Arts Council in Wales.

Downing Street is also at pains to state that, as arts is a devolved matter, the prime minister's comments refer only to the arts in England and the Arts Council England.

Although his remarks were part of a speech in which the central theme was the "golden age for the arts" in Britain and not simply England.

The findings of the Welsh arts review are that tensions exist between the ACW and the assembly government over whose responsibility it is to decide arts funding, priorities and strategy in a devolved Wales.

All sides have welcomed the review as a much-needed opportunity to debate the shape of the country's arts framework. It remains to be seen whether the creation of another arts board will resolve the confusions, promote partnership and make the arts in Wales "even more ambitious, innovative, strategy-driven and inclusive", as the review panel hoped.

Ahead of the elections on 1 May, speculation has already started about the impact of the results on the assembly government's culture portfolio, the embryonic Arts Strategy Board and the future of the Arts Council in Wales.

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