In May 2009, Arts Council of Wales (ACW) began a detailed Investment Review of its revenue funded organisations (RFOs), with plans to create a new RFO portfolio by March 2010. Chief Executive Nick Capaldi has written to organisations, including the NCA, who contributed to the consultations that formed part of the Investment Review, providing an update of the Review’s progression.

The Investment Review is running to schedule, and a business plan (informed by 116 organisational submissions during consultation) will be presented in an initial report to the Council in April. ACW and the Welsh Assembly Government have also met to discuss overall arts funding for 2010/11, and as in previous years, it has been confirmed that Assembly Government funding will support ACW in the following three aspects:

§         Investment in revenue funded organisations

§         Strategic development budgets

§         Running costs

RFOs will be allocated nearly £24 million of funding. £200, 000 has been secured to provide partnership investment in Reach the Heights (an initiative joining forces with the Assembly Government’s Department of Children, Education, Lifelong Learning and Skills), as well as £1.785 million of funding attached to the Invest Review “to foster change, innovation, leadership and excellence.”

In June 2010, ACW will have concluded discussions on the Investment Review, and will be in a position to make decisions about the core membership of their future revenue funded portfolio. Allocation of funding for the portfolio will then be finalised once ACW’s own funding from the Welsh Assembly Government is confirmed. The decisions made in June 2010 will mean that, rather than waiting until 2011/12 to invest in organisations, ACW has the opportunity to “take a first step forward” during 2010/11.

Capaldi recognises the risk involved with this approach, namely the significant fact that it remains unknown what level of funding will be available from 2011/12 onwards. He states, “to put it bluntly, we could take a positive step in June (and allocate additional funding) only to find that funding cuts announced later in the year force us to re-trace our steps.” This is a risk ACW is willing to take, but plans to do so “carefully and realistically, using [its] best instincts and judgment.”

The NCA will be responding to these approaches and invites comments from members who wish to inform our response. Comments should be sent to This e-mail address is being protected from spambots. You need JavaScript enabled to view it by midday on Thursday 11 March.

The full letter from ACW can be read here.