Martin Cullen (Waterford, Fianna Fail)

I propose to take Questions Nos. 46, 57 and 291 together.

The State appreciates and values the contribution the arts sector has made to the internationally renowned artistic reputation of this country. Even within the current economic constraints I do not consider investment in the arts, culture and creative sectors as somehow discretionary. As Minister for Arts, Sport and Tourism, I was pleased to secure overall funding of €185 million for the arts, culture and film sectors in this year's budget.

The Arts Council is the State agency charged primarily with the promotion and funding of the arts. I continue to monitor and review the resources at my disposal to facilitate the council in its vital work. To this purpose, funding for the arts and culture sectors has increased significantly in recent years. For example, funding to the Arts Council had increased by 72.2% since 2002, from €47.67 million to €81.6 million in 2008. Due to the serious budgetary constraints now confronting us the level of funding for the Arts Council had to be reduced for 2009 to €74.439 million, but with reductions to arts organisations being minimised as much as possible.

I am acutely aware of the employment potential which the arts and culture areas represent. According to 2007 Pocketbook on Cultural Statistics, EUROSTAT estimates that there were 48,000 employed in the cultural sector in Ireland in 2005 representing 2.5% of the total number employed in Ireland. This figure compares well with other EU member states and is marginally higher than the 2.4% EU average. Other EU studies estimate that the culture and creative sectors in Ireland contributed 1.7% to GDP in 2003.

The arts, culture and creative sectors are key elements of the cultural tourism agenda. As Deputy Mitchell recognised earlier, the sectors are real and enduring employers and the fulcrum of a smart economy.

I am optimistic regarding the spirit, ability, and willingness of those involved in the arts to adapt and mobilise in not only facing future challenges but in turning them into opportunities. In that regard the key findings of the recent Creative West report are worth reciting. The western region has 4,779 businesses in the creative sector employing 11,000 people, accounting for 3% of total regional employment, and generating €534 million in annual turnover. Creative sector businesses in the region are mainly indigenous, small scale and rooted in their western location with 98% headquartered in the region. Quality of life and inspiration are among the strongest motivators for creative people to live and work in the western region. Currently there is relatively little networking among creative businesses in the region and economic opportunities may be lost because of this. Greater linkages between the creative sector and other sectors can enhance innovation across the economy. There is potential for overseas market growth as currently only €74 million of total turnover is exported.

In the current economic conditions the arts and culture sectors will not be immune from the knock-on impact on revenues. I have asked the Arts Council to keep my Department informed on trends in this area.

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