Fundraising Management: Sponsorship, Philanthropy, and the State

CharleneYY
artsfundingweek9.pptx

Classes for the rest of the semester.

Monday 2nd May is a Bank Holiday (public holiday) in England.

Classes on Monday 2nd May will not take place.

Your next lecture is on the 9th May, on the ‘Fundraising Journey’

The rescheduled public holiday lecture will take place on the 18th May and will be on ‘Assessment Guidance and Support’.

Students scheduled for the Monday 1-2 seminar class on the 2nd May are welcome to attend the Wednesday class 12-1 in the Modular Teaching Village, Seminar room 6.

Why do governments fund the arts?

Introduction

What are we talking about?

What is cultural policy?

Models

How does government account for culture?

Current policy practice- DCMS and ACE

Inequalities of place and consumption

Beyond government

What are we talking about?

What is culture?

What is policy?

What is cultural policy?

Arts policy?

Implicit/explicit?

Everything a government does?

“Non-cultural” policies, for example education or health?

What counts as funding?

Direct payments?

Tax incentives?

Intellectual property rights?

Regulations? E.g. media licenses or age limits for content

Infrastructure? Access to broadband or roads and rail?

The roots of cultural policy

Arts Management

Cultural/Media Studies

Other disciplinary basis:

Art History

Sociology

Economics

Political Science

‘Policy’ as a tricky subject for academic disciplines!

Cultural Policy is concerned with….

Community cultural development, cultural diversity, cultural sustainability, cultural heritage, the cultural and creative industries, lifestyle culture and eco-culture, planning for the intercultural city, cultural planning per se, support for national languages, ‘currently controversial issues in the wider society’, the ‘culture wars’ in the USA, ‘the production of cultural citizens’ as well as being concerned with ‘representation, meaning and interpretation’ and being a ‘transhistorical political function’ (Gray 2010: 218).

‘Getting to know cultural policy and intervening in it is an important part of participating in culture’ (Miller and Yudice 2002: 34)

Cultural technicians? (following Foucault)

Or critical intellectuals? (following Habermas)

Four types of cultural government (Chartrand McCaughey 1989)

The Facilitator: The USA and market-led cultural provision

The Patron: The UK and the arms-length arts council

The Architect: The Netherlands and direct funding from the ministry, for organisations and individuals

The Engineer: The USSR and direct control over content

HOWEVER

Change over time, for example the collapse of the Architect model in the Netherlands, the mixed economy and the rise of market based funding in the UK, and obviously the end of the USSR!

The impact of neo-liberalism and New Public Management

New models? The new patron state: South Korea and the rise of the creative economy (Lee 2020)

& differences between the European models: The Nordic Model with a focus on participatory community based culture (Rius et al 2019)

How is funding justified? (Mulcahy 2006)

Culture as Glorification

Democratization of Culture

Crucial to how we understand arts funding

Cultural Democracy

Cultural Utilitarianism & the rise of ‘impact’

Culture and Creative Cities…

Along with

Cultural diplomacy

Heritage

Economic activity

Arts and health

Enter the creative industries

"...those industries which have their origin in individual creativity, skill and talent which have a potential for job and wealth creation through the generation and exploitation of intellectual property" ('Creative Industries Mapping Document', DCMS, 2001).

The 13

Is cultural policy special? (O’Brien 2015)

Discourses of creativity and uniqueness:

‘...what is the difference than that culture brings is that...I suppose is that notion of...it's creativity, it's the sense of identity’

But also discourses of social science within public policy:

‘No not really. It’s all the same stuff with evaluation. It’s what outcomes are you trying to achieve, how do you think this thing achieves them, how do you measure it, how you are going to measure whether it’s this thing that’s actually done it.’

Judging success, studying actual effects and helping resource allocation?

‘if we consider that to support one person’s or groups’ culture is also to a make a decision not to support another’s, on what basis do we make these decisions?’ Reality of current central govt is a zero sum game. There are not enough funds to go round, so how do we allocate them?’ Gibson (2008:14)

‘It is difficult to decide whether Shakespeare’s Hamlet is better than his King Lear and even harder to persuade others of our decision or define what such a ranking would mean. How many Gershwin songs sum up to a Shostakovich symphony? Is a Haydn string quartet better than a Hemmingway short story? How does a Blake poem compare to a modern ballet performance?’ Cowen (2006:6)

Getting to grips with culture

Myerscough, J (1988) The Economic Importance of the Arts in Britain

‘In 2011 cultural businesses generated an aggregate turnover of £12.4Bn’ (ACE 2013)

Matarrasso, F (1997) Use or ornament? The social impact of participation in the arts

‘There is strong evidence that participation in the arts can contribute to community cohesion, reduce social exclusion and isolation, and/or make communities feel safer and stronger’ (ACE 2013)

McMaster Review (2008)

Measuring the Value of Culture (2010)

Enriching Britain (Warwick Commission 2015)

AHRC Cultural Value Project (Crossick & Kaszynska 2016)

Culture is good for you!

Health impacts:

Those engaging with the arts as an audience member were 5.4% more likely to report good health.

Education impacts:

Participants in arts are 14.1% more likely to report an intention to go on to further education.

Economic productivity related impacts:

Unemployed people who engage with the arts as an audience member were 12% more likely to have looked for a job in the last four weeks when compared with unemployed people who had not engaged with the arts.

Civic participation impacts:

People who engage with the arts as an audience member are 6% more likely to have volunteered frequently (once a fortnight or more).

Those who engage with the arts as an audience member are also gave £50 per person more in charitable donations over the last year.

(Fujiwara et al 2014)

What is the aim of government policy?

‘The fundamental reason for national and local government action is based on the economic principle of market failure. Market failure can occur for several reasons, but when it does occur it means the market will under value the benefits of engagement leading to an under supply of culture and sport. Therefore the market alone cannot be relied on to produce a socially optimum level of supply………. It is not sufficient, however, just to identify in principle that a market failure may exist: evidence is required (DCMS 2010:6)’

Discount rates, NPVs, Social Cost Benefit Analysis

How to commensurate?

‘Analysis which quantifies in monetary terms as many of the costs and benefits of a proposal as feasible, including items for which the market does not provide a satisfactory measure of economic value.’ (HMT 2003:4)

Culture and Sport Evidence Programme (CASE)

Joint research programme between Department for Culture, Media and Sport (DCMS), Arts Council England, English Heritage, Museums, Libraries and Archives Council and Sport England.

1) what drives people to engage

2) what the impacts of that engagement might be

3) how can we value that engagement for economic appraisal.

Involved a range of methods, including systematic reviews, decision modelling and subjective wellbeing/income compensation

Modelling policy interventions (DCMS 2010:20)

Why do people engage (DCMS 2010:15)

• Increasing age predicts increasing cultural engagement but diminishing engagement in sport.

• Self-reported childhood experience of engaging in all types of culture is positively associated with engaging in culture as an adult.

• Those with higher levels of education are more likely to engage in culture.

• Those of higher social economic status are more likely to attend arts events, visit a heritage site, or visit a museum.

• Media consumption is positively associated with engagement in culture and sport.

• Men are much more likely than women to participate in sport, but less likely to attend arts events, visit a museum, or visit a library.

• Families are more likely than non-families to visit heritage and libraries.

Awareness is key, not cost!

DCMS Cultural and Heritage Capital (Saggar et al/DCMS 2021)

Where are we now?

DCMS Cultural and Heritage Capital (Saggar et al/DCMS 2021)

Creative Health: The Arts for Health and Wellbeing (All- Party Parliamentary Group on Arts, Health and Wellbeing 2017)

Changing Lives: The Social Impact of Participation in Culture and Sport (House of Commons Digital, Culture, Media and Sport Select Committee 2019)

‘So we need continually to demonstrate how it benefits us individually and collectively, and to translate that value into policies that increase participation; promote culture’s importance as a way of boosting public education, civil engagement and personal wellbeing; and lead, ultimately, to national growth and resilience.’ DCMS (2015)

Who governs culture?

Devolved national governments

Local Authorities

Non Departmental Public Bodies- The Arts Council(s), Creative Scotland, British Film Institute, English Heritage, British Council

Philanthropy- Esmée Fairbairn Foundation, Calouste Gulbenkian Foundation, Paul Hamlin Foundation, Clore Duffield Foundation

Supra-national bodies- UNESCO, (& previously EU)

Cultural Policy has been a key area since the 1980s as LA’s have used it for regeneration, economic development and forms of social policy, distinct from central government agendas.

Department for Digital, Culture, Media, and Sport

“The Department for Digital, Culture, Media & Sport (DCMS) helps to drive growth, enrich lives and promote Britain abroad. We protect and promote our cultural and artistic heritage and help businesses and communities to grow by investing in innovation and highlighting Britain as a fantastic place to visit. We help to give the UK a unique advantage on the global stage, striving for economic success.”

The Culture White Paper (2016)

Everyone should enjoy the opportunities culture offers, no matter where they start in life (Education and diversity)

The riches of our culture should benefit communities across the country (The geography ‘problem’)

The power of culture can increase our international standing (Cultural Diplomacy)

Cultural investment, resilience and reform (Grant-in-aid and philanthropy)

Appendix 1- Measuring the impact

Measurement matters!

DCMS (2019)

Global: Drive international trade, attract investment and promote shared values around the world – promoting the UK as a great place to live, work and visit

Growth: Grow an economy that is creative, innovative and works for everyone

Digital Connectivity: Drive the UK’s connectivity, telecommunications and digital sectors

Participation: Maximise social action, cultural, sporting and physical activity participation

Society: Make our society safe, fair and informed

EU Exit: Help deliver a successful outcome to Brexit

Agile & Efficient: Ensure DCMS is fit for the future with the right skills, culture and connections to realise our vision and live our values as “One DCMS”

DCMS priority outcomes (2022)

Increase economic growth and productivity through improved digital connectivity (Supporting departments: Department for Transport and Ministry of Housing, Communities & Local Government).

Grow and evolve our sectors domestically and globally, in particular those sectors most affected by COVID-19, including culture, sport, civil society, and the creative industries.

Increase growth through expanding the use of data and digital technology and increasing innovation, while minimising digital harms to the UK’s economy, security and society.

Enhance the cohesiveness of our communities and nations including through major events and ceremonial occasions, and reduce inequalities of participation in society, particularly among young people

Community cohesion and reducing inequalities of participation

DCMS is uniquely placed to contribute to this outcome as the lead department for the cultural, sports, and civil society sectors. At the heart of DCMS is our commitment to; support people across the country to lead healthier and active lives, support young people outside of the school setting, help strengthen communities and level-up access to opportunity. In addition to our work to support our sectors and people across the UK disproportionately impacted by COVID-19, we will deliver these outcomes through targeted place-based investments and our ongoing work with our ALBs. For example, over 50% of the Arts Council’s National Portfolio funding goes to organisations outside London and the South East.

Our grant-giving ALBs directly address inequalities of participation as a key objective through programmes such as Sport England’s Local Delivery Pilots and investments in Coventry UK City of Culture. As a department, we continue to strive for a thorough and evidence-based understanding of local and regional challenges and opportunities, enabling us to more effectively deploy the potential of all our sectors in supporting left-behind areas of the UK to level-up. We are also already contributing significantly to the lives and cohesiveness of communities and young people through programmes such as the renewed focus on stewardship and work to build a volunteering pipeline of young people to create a lifelong habit of volunteering.

DCMS is also responsible for many of the policy areas at the heart of major events and will be delivering a future pipeline of major and mega events in 2021 and 2022 (see below).

Commonwealth Games; Platinum Jubilee; Festival UK* 2022; UK City of Culture; High Street Heritage Action Zones; ALB Funding; Elite sporting events; Youth and Civil Society funding

Arts Council England (2013)

Our strategy contains five goals that we share with the arts and culture sector. These are:

Goal 1. Excellence is thriving and celebrated in the arts, museums and libraries

Goal 2. Everyone has an opportunity to experience and be inspired by the arts, museums and libraries

Goal 3. The arts, museums and libraries are resilient and environmentally sustainable

Goal 4. The leadership and workforce in the arts, museums and libraries are diverse and appropriately skilled

Goal 5. Every child and young person has the opportunity to experience the richness of the arts, museums and libraries

But inequalities of place

Campbell and Rex 2021, Change in expenditure on Arts Development and Support 2009/10-2018/19

The governmentality of cultural policy

‘Culture has many characteristics of a public good or service, which would require governments to regulate its distribution, as it does for water, electricity or air. Yet governments’ modes of ensuring that right are antiquated’ (Yudice 2009:129)

But some sorts of culture are better than others…

With the assumption of civilizing and transformative effects….

We are indeed ‘other Victorians’! (cf Bennett 2005)

But what about….

Convergence of spending and participation rates across Europe (Rius et al 2019)

And new forms of justification

National brands

Exporting goods

Along with the return of older ones!

Community cohesion

National prestige

Where is the art in this?

And the artists? (Alexander 2018, Kolbe 2021, Rubio-Arostegui and Villarroya 2021)

And the pandemic?

Beyond government?

Trusts and foundations in the context of changing arts funding

Weston Jerwood Creative Bursaries & DCMS workforce policy; Guidance on social mobility

Gulbenkian Foundation & King’s College London Award for Civic Arts Organisations & government ‘levelling up’

Conclusion

Definitions matter

Models matter

Competing and conflicting rationales

Creative industries and cultural policy

New (old) Public Management

What does it mean for arts organisations, artists, and researchers?