July 2024
Featured in this insight: Culture, heritage & leisure
Majority of museum directors are worried about funding shortfalls: A recent survey from Art Fund’s Museum Director Report has revealed that two-thirds (66%) of museum directors are concerned about funding shortfalls, even with a rise in visitor numbers since the Covid pandemic.
The survey involved 321 different organisations, made up of museums, art galleries, historic houses, heritage sites, libraries and multi-venue services. The survey also involved 321 staff members from many of the organisations. In the report, the term 'museum' encompasses all the participating entities.
Although the research showed that 51% of museums have experienced an increase in earned or commercial income since the previous financial year, over a fifth (22%) have seen a decrease, leading to difficulties for some. Nearly a third (32%) of the museums reported a decline in corporate donations and sponsorship, with 6% seeing this type of funding cease entirely. Thirty-two percent also saw a decrease in funding from trusts and foundations.
The survey also highlighted the problems museums are facing, with 75% saying the cost-of-living impact on staff and audiences is a current challenge. Building maintenance costs and operating costs are another key challenge for many museums (70-75%) together with lack of staff (68%). With all the challenges museums are facing and decreasing financial backing, museums are now saying they need a 10–20% injection in funds just to stabilise.
Local Authorities:
Regarding local authority support, 24% of museums report that losing this support is a significant challenge. With 56% of the surveyed museums relying on local authority funding, the 28% that experienced a decrease in such funding are likely to be struggling. The smallest increase in funding came from local authorities, with only 15% of the organisations reporting a rise in this income type.
View more of our sector specific insights: Culture, heritage & leisure
