The Economic Power of the Arts in Wales — Why Continued Investment Matters

Across Wales, the arts are proving to be far more than cultural enrichment — they are a powerful economic engine. Recent research commissioned by the Arts Council of Wales (ACW) highlights just how significant this impact has become, especially as the sector continues to recover from the challenges of the pandemic and the ongoing cost‑of‑living pressures.

According to the ACW’s latest Economic Impact Report, the arts sector is delivering exceptional value for money. In 2023/24, every £1 of public funding generated £2.51 back into the Welsh economy, demonstrating a clear and measurable return on investment. This multiplier effect reflects not only direct spending by arts organisations but also the wider ripple effect through supply chains, local businesses, and employee spending.

The report also shows that 92% of ACW’s funding is distributed across the whole of Wales, ensuring that communities of all sizes — from rural towns to major cities — benefit from cultural activity and creative opportunities. This broad distribution is vital for maintaining access to the arts in areas where commercial provision may be limited.

Despite the severe disruption caused by COVID‑19, the arts and cultural sector in Wales has shown remarkable resilience. The ACW’s economic assessment notes that turnover and GVA (Gross Value Added) are now approaching pre‑pandemic levels, signalling a strong recovery trajectory. Arts Council of Wales Economic Assessment

In February 2025, the Welsh Government announced an additional £4.4 million per year for arts, culture, and publishing — an 8.5% increase on the previous year’s budget. This investment sits alongside £73.8 million in capital funding to protect cultural assets and improve visitor experiences across Wales Museums Association

For communities like ours, this funding helps sustain venues such as Pontardawe Arts Centre — enabling diverse programming, supporting local artists, and ensuring that the arts remain accessible to everyone. As Friends of Pontardawe Arts Centre, we play a key role in advocating for this continued investment and demonstrating the value of arts engagement in our region.