UK Budget: Budgeting to save a UK asset in the Edinburgh festivals? - Shona McCarthy

While both UK and Scottish governments have much to do to address current suffering, the key to sustainable economic growth and wellbeing includes investing in our cultural capital.

A report by the Lords communications committee recently stated creative industries should sit at the heart of the UK’s economic growth plan and criticised senior politicians for failing to spot its potential.

Investment in culture, which makes up a tiny 0.8 per cent of the Scottish Government Budget, has been steadily declining year on year, comparative to other UK nations. This is despite its obvious pre-pandemic economic contribution.

The sector has been hit hard by the loss of European funding, which has not been replaced at the same level by the new UK Government funds. A rumoured injection of £8.6 million for Edinburgh Festivals in today’s Budget will be a welcome boost.

Shona McCarthy is calling for more support for the Edinburgh festivals. Picture: Lisa Ferguson

In 2019 the creative industries employed over 90,000 people in Scotland with the previous year’s economic contribution measured at £4.6 billion in GVA and £4bn in exports. But as the sector tries to recover from the debt and ravages of Covid, sustaining this contribution and growing the culture and creative sector over the coming years will require similarly sustained investment, something that does not look likely in the current climate.

Of course, governments should be responsive to the electorate’s priorities. It’s no surprise that in the recent Understanding Scotland survey, people in Scotland placed the cost of living and anxieties about NHS performance high on the list when asked to name the issues that most concern them. But we also know from Creative Scotland research across Scotland that 84 per cent believe it is right that there should be public funding of arts and cultural activities in Scotland.

A total of 98 per cent of the Scottish population engaged in cultural activity during lockdown and 93 per cent believes that creative activity is essential for children and young people’s learning and well-being. Alongside addressing immediate concerns, is it too much to ask that our political leaders keep their eye on the long game?

Current challenges and the way governments respond will have long-term economic consequences. In the same Understanding Scotland survey, over 60 per cent of Scots said they were cutting down on leisure spending in response to rising costs.

In terms of income this could be a knockout blow for those venues and creative practitioners already placed in jeopardy by the impact of the pandemic. As far as the Edinburgh Fringe is concerned, I fear there is a sense that it will always be there. The Fringe began as a platform for inclusion and freedom of expression. And it is the very nature of its openness and inclusivity that has caused it to grow organically over 75 years to include more artists, more creatives, more voices from every walk of life and every nation. As we have seen with the plight of the Film Festival this year, we can’t afford to just take it all for granted.

It is astonishing to think the ticket-selling collective of Edinburgh’s festivals in August are now equivalent in value to a FIFA World Cup, and second only to the Olympic Games every single year. If cities were bidding now to host what Edinburgh delivers every August, there would be enormous competition.

If the arts were treated like a major sporting event, at least £100m of UK Government investment would be on the table to cover the cost and supporting infrastructure. Even comparing, to the much smaller, Eurovision Song contest, the UK Government pledged £10m to support the winning city.

The Edinburgh festivals are a UK asset, valued worldwide, which we need to treasure. The arts are a vital part of the UK economy and we need everyone to help us survive.

- Shona McCarthy is the chief executive of the Edinburgh Festival Fringe Society