Committee publication · Correspondence · 9 June 2026

Letter from Rt Hon Ian Murray MP, Minister for Creative Industries, Media and Arts, regarding Arts Council England funding, 8 June 2026

From: Culture, Media and Sport Committee

Inquiry: Review of Arts Council England

Summary

Minister Ian Murray responds to the Culture, Media and Sport Committee's letter on Arts Council England funding, accepting Baroness Hodge's independent review recommendations. The government outlines its £1.5 billion Arts Everywhere investment and four reform areas: National Portfolio Investment Programme restructuring, talent cultivation, access to underserved areas through 81 Culture Priority Places, and sector streamlining. The letter addresses specific concerns on financial resilience, regional decision-making, and transitional support.

Key findings

  • Government accepts all of Baroness Hodge's ACE review recommendations and commits to implementing reforms across National Portfolio Investment Programme, regional decision-making, talent development, and bureaucratic simplification.
  • £1.5 billion Arts Everywhere investment announced, including £425 million Creative Foundations Fund for capital projects and 5% uplift on current awards for existing funded organisations from April 2026.
  • 81 Culture Priority Places identified to target investment in underserved areas; Strategic Authorities given 'area of competence' for culture via English Devolution and Community Empowerment Act 2026.
  • DCMS exploring new investment mechanisms including potential trading arm for Arts Council to enhance sector sustainability; Citizens' Voices for Culture project to enable hyper-local engagement.
  • NPIP application process for 2028 Portfolio to begin later in 2026, maximising transition time for organisations leaving the scheme; new national funding programme for individuals being designed.

Government position

The government accepts Baroness Hodge's recommendations in full and commits to implementing four key reform areas. It supports equitable funding distribution, regional decision-making led by communities, and targeted investment in underserved areas. The government is exploring additional investment mechanisms (including a potential trading arm for Arts Council) to enhance long-term sector sustainability and financial resilience, while ensuring the national cultural ecosystem perspective is maintained alongside local priorities.

Tone

Supportive

Topics

public-financearts-and-culturelocal-governmentcommunity-engagementcultural-infrastructure

Key actors

Rt Hon Ian Murray MP, Dame Caroline Dinenage MP, Baroness Hodge, Darren Henley, Sir Nicholas Serota, Arts Council England, Department for Culture, Media and Sport

Notable line

… everyone should have the opportunity to engage with excellent arts and culture and, as part of this vision …

Key Quotes

The government accepts Baroness Hodge's recommendations and agrees with her vision for an Arts Council better able to serve England's citizens through closer engagement with communities …
Rt Hon Ian Murray MP · Opening position on the independent review
… everyone should have the opportunity to engage with excellent arts and culture and, as part of this vision …
Rt Hon Ian Murray MP · Describing the Arts Everywhere vision
The government's £1.5 billion Arts Everywhere investment demonstrates this commitment, providing substantial new funding for arts and culture.
Rt Hon Ian Murray MP · Addressing financial resilience concerns
… we worked with Arts Council England to agree a joint approach and enhanced list of Culture Priority Places, building upon their existing programme of Priority Places.
Rt Hon Ian Murray MP · Explaining place-based targeting approach
I am mindful of ensuring any options would enhance the long term sustainability of the sector and would not detract from its creative or commercial potential.
Rt Hon Ian Murray MP · On exploring new investment mechanisms including trading arm
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Source · parliament.uk record ↗