Research predicts cultural sector recovery will be earlier than anticipated

Research from the Centre for Economic and Business Research (CEBR), commissioned by Arts Council England, has predicted that the Government’s Culture Recovery Fund will help the cultural sector return to its pre-Covid gross value added level of £13.5bn by 2022, a full year earlier than was anticipated without government intervention.

Further research by Metro Dynamics, on the links between culture and the wider creative industries found that culture ‘acts as an R&D lab for the creative industries, encouraging experimentation and in turn driving innovation and commercial activity’. 

Further analysis highlighted the huge contribution the arts and culture sector made to the UK economy prior to the pandemic, finding the sector was worth £13.5bn to the UK economy in 2018, up from £12.8bn the previous year, and contributed £3.4bn in tax. The research shows the sector is set to grow to £15.2bn by 2025.  

Darren Henley, CEO of Arts Council England said: ‘Thanks to the government’s Culture Recovery Fund, we’re helping cultural organisations to continue to be the beating hearts of their communities. We know that creative professionals and creative organisations enrich lives in villages, towns and cities across the country. Through this Fund we’re determined to continue to deliver on the government’s plans for levelling up opportunities for people across the country.’

Sir Nicholas Serota, Chair of Arts Council England said: ‘These figures demonstrate that the cultural sector is an economic force in its own right, as well as an essential pipeline for talent and ideas into the wider creative industries – one of our fastest growing sectors before the pandemic.  By investing through the Culture Recovery Fund, the Government is helping to protect the sector, ensuring that it can bounce back more quickly and play a vital role in the national recovery as we emerge from this crisis.’

Read the reports in full