To ask the Scottish Government what support it is providing to cultural organisations in rural areas. (S6O-04251)

We are committed to creating, protecting and nurturing cultural opportunities for everybody in Scotland, regardless of where they live. That is why we support and fund organisations that work in rural and island communities. For example, via our regular funding to Creative Scotland, we support many organisations across rural areas, including Shetland Arts, Timespan in Helmsdale, Alchemy Film & Arts, which is based in Hawick in the Scottish Borders, the Wigtown Festival Company, and the Stove Network in Dumfries and Galloway.

The Cabinet secretary mentioned the Wigtown Festival Company, which provides support to a range of performing arts activities and stages its famous and fabulous book festival, which is now in its 20th year. Like many rural arts organisations, it is still facing a challenging environment, despite the additional investment in culture in the budget. It is warning that rural audiences have been slow to return following the Covid pandemic, which is affecting box office returns. It could put up its prices, but it insists that it wants to make events accessible to as wide a range of audiences as possible.

Given the importance that culture plays in the sustainability of rural communities as a whole, what additional support can be provided to such organisations?

The timing of Finlay Carson’s question is excellent. I confirm that Creative Scotland will, tomorrow morning, announce details of its multiyear funding for cultural organisations and venues right across Scotland, rural and urban. That will be transformational for the sector, and it is possible because of the record financial commitment to culture and the arts in the forthcoming Scottish budget. I urge all MSPs and all parties to look out for that announcement and to vote for the forthcoming budget.

I am sure that members share my concern about the impact of the United Kingdom Government’s increase to employer national insurance contributions on culture organisations in Scotland, including those in rural communities. It will no doubt put huge pressure on their resources. Can the Cabinet secretary provide any update on the assessment that the Scottish Government has made of the impact on the sector of the national insurance hike?

We estimate that the increase to employer national insurance contributions could add around £500 million in costs for the public sector as a whole unless it is fully reimbursed. The Scottish Council for Voluntary Organisations estimates that the national insurance hike will cost the third sector £75 million, which will affect many of our most valued cultural organisations, such as local theatres, museums and galleries.

The UK Treasury must fully fund the actual costs for Scotland’s culture sector. However, it has indicated that the sector will instead receive a much lower-value Barnett share of the spending in England. On 3 January, the First Minister and the Convention of Scottish Local Authorities president, supported by 48 public and voluntary sector organisations, wrote to the Chancellor to raise concerns about the impact of the increase to employer national insurance contributions and to seek clarity on funding.

Cultural organisations in rural areas, like those in urban areas, are awaiting Creative Scotland’s multiyear funding decisions. Given what the Cabinet secretary has said about increased funding for the culture sector, is he confident that all the cultural organisations that are currently in receipt of Scottish Government funding will not lose that funding by the time that he gives his statement to the Parliament tomorrow, and that those organisations will not be left, in effect, on standstill funding?

I thank Neil Bibby for inviting me to pre-announce both Creative Scotland’s announcement, which is to be made at 10:30 tomorrow morning, and my statement, which will also take place tomorrow. He will understand that it is not appropriate for me to give any indications about those statements. I look forward to answering his questions in more detail, and I hope that he will be as enthused as I am about what will be, I believe, a foundational change to the funding of cultural and arts organisations across Scotland.