Higher standards set for arts groups' funding overhaul

The Hong Kong Arts Development Council announced on Thursday that the government will tie funding for major performing arts groups to their performance and artistic merits. This shift aims to raise the industry's overall standards. The new system will allocate half of the annual budget as a baseline subvention and the other half as a performance-based grant.

The grant will be based on factors such as non-government revenue, audience sizes, and governance. Medium-sized arts groups have the potential to advance to major status if they consistently perform well in these areas. Better-performing groups will receive more funding, while underperformers may lose their status. The reform will be phased in starting in 2027-28 and fully implemented by 2032-33.

Chris Ip, the council's vice-chairman, stated that the reform will encourage major performing arts groups to prioritize artistic merits, administration, and talent development. This will contribute to the healthy growth of the arts sector. Ip also highlighted a promotion ladder for medium and small-sized groups, providing them clear goals for improvement. The five-year transitional period offers ample time for arts groups to plan and make necessary changes.

The government's annual funding for nine major performing arts groups has increased by over 104 percent to approximately HK$450 million over the past two decades. However, audience sizes and attendance rates have declined. Celina Chin, the executive director of the Hong Kong Chinese Orchestra, one of the city's major performing arts groups, attributed this decline to factors such as a lower birth rate and changing audience habits.

Chin noted that people now prefer to stay at home and watch performances in the evening. She acknowledged that arts groups will face pressure under the new mechanism but emphasized that this pressure will force them to adapt and make sacrifices to maintain their positions.