One of the objectives expressed in KEP is to create a legal and operational framework without obstacles and limitations for private sponsoring, that is complementary to public funding. Recommendation No. 62 thus relates to a reform of the law on sponsoring.[1]
The National Cultural Fund (FOCUNA), created in 1982, had as its first objective to generate and organize patronage for the benefit of the cultural scene in Luxembourg, leveraging the generosity and enthusiasm of individuals or company leaders for supporting the cultural expansion.[2] The practical guide to cultural patronage / sponsorship published by FOCUNA is intended to provide businesses and individuals with the necessary information on patronage and the various forms of donation, as well as the many related benefits (corporate image, tax exemption).[3] The Fund also gives patrons the possibility of contributing to aid professional artists via a specific grant program.[4]
Even though recent data concerning the patronage and sponsorship of culture is lacking, it is a fact that the private financing of culture through patronage and sponsorship remains weak.[5] For instance, private funding (sponsors, patrons) contributed as little as 1.8% of total revenue of museums in Luxembourg in 2012.[6] The situation was not better in other domains, as museum patronage already represents 34.2% of the total amount of sponsorship to the cultural sector, estimated at a total of 1.52 million euros in 2012 by statistical surveys of the ministry of Culture. [7]
While remaining mostly a minority funding source, it has been and remains very valued, like that of Jean-Pierre Pescatore, whose legacy of 1853 founded the art collections of the City of Luxembourg.[8] The National Cultural Fund has witnessed a multitude of various gifts, whether in cashor in kind, throughout the years of operation.[9] Many patrons continue to enrich the collections of Luxembourg museums through the donation of works or objects.[10] Public donations to some cultural organisations (depending on their legal status) can be tax-deductible if the annual sum of individual’s support is equal to or greater than 120€ and does not exceed 20% of their total net income, or 1.000.000€.[11]
An important factor also is the growing role of foundations, whose aid is distinguished by its continuity over time and by its strategic approach.[12] Several art foundations work under the auspices of the Fondation de Luxembourg.[13] In the example of literature, “the Raoul Servais Foundation is the first and only foundation whose sole purpose is the promotion of literature in the Grand Duchy of Luxembourg, through the award of the Servais Prize, among other things.”[14]
Another important recent phenomenon is the re-emergence of public patronage, often under the slogan of crowdfunding or “acts of cultural citizenship”. Examples include fundraising organized by the National Museum of History for an acquisition of specific masterpiece[15] raised more than € 100,000, with private donations ranging from 5 to 5,000 €.[16]
Work of associations such ‘friends of…’ is also an important contribution in this field, such as the association Friends of the Museums of Art and History Luxembourg or the Amis des Musées that promote Luxembourgish museums and culture nationally and internationally and often participate in the crowdfunding for the purchase of Art works donated to one of the museums in Luxembourg. Some cultural institutions have their own “friends of..” association, one example being MUDAM with its American Friends of MUDAM, “an independent philanthropic organization [that] supports and encourages the acquisition and donation of contemporary artworks and raises funds for the museum’s exhibitions and educational programs”.[17]
When it comes to enterprise patronage, companies are moving from the personal initiative of one manager to a more structured and formalized approach, with the boundary between patronage and sponsorship often becoming blurry[18], leading to discussions about values and independence of cultural institutions. Putting aside these considerations, companies play a relevant role in Luxembourg art and culture landscape. Banks and professional services companies are good examples, often owning their own art collections (see the described earlier Private Art Kirchberg – an open-day event for corporate art collections based on the Kirchberg plateau), and corporations of any kind often serve as major sponsors of important cultural events (for instance as Esch2022 partners), or more regular patrons and partners of cultural institutions (see e.g. MUDAM’s sponsorship and partnership programme or the PhilaPhil Corporate, the Philharmonie’s sponsors club, to just name a few).
Being one of the financial centres in Europe, back in 2008 Deloitte unveiled a strategy to develop Luxembourg as an international centre of expertise for art investment funds, supported by the then-Minister of Culture.[19] Today, Luxembourg is also home to some art investment funds. However, these do not necessarily focus on domestic art talent but rather follow the international art investment trends (e.g. IN ART FUND, while being a Luxembourg-based Investment Fund, invests in global art collections[20]) so the impact of this development on the Luxembourg art and culture scene is limited.
Finally, there is also funding coming from the National Lottery, which transfers all of its net income, through the Œuvre Nationale de Secours Grande-Duchesse Charlotte, to public institutions and non-governmental organizations (in particular foundations and associations) working in various fields, including culture.[21]
[1] Kulturentwécklungsplang eBook 1.0 – Septembre 2018, Volume 1, p. 180.
[2] Kulturentwécklungsplang eBook 1.0 – Septembre 2018, Volume 1, p. 55.
[3] https://www.focuna.lu/fr/Guide-pratique; Accessed 7 December 2021.
[4] https://www.focuna.lu/fr/Editorial; Accessed 7 December 2021.
[5] Kulturentwécklungsplang eBook 1.0 – Septembre 2018, Volume 1, p. 55.
[6] Philippe Robin (2016) Portrait statistique des musées luxembourgeois, Lettre d’information d’analyse statistique du secteur culturel luxembourgeois, No. 2, April 2016, p. 18; Available at: https://www.egmus.eu/fileadmin/national_Data/Question_s_2Culture_2016_1-Musees.pdf
[7] Philippe Robin (2016) Portrait statistique des musées luxembourgeois, Lettre d’information d’analyse statistique du secteur culturel luxembourgeois, No. 2, April 2016, p. 18; Available at: https://www.egmus.eu/fileadmin/national_Data/Question_s_2Culture_2016_1-Musees.pdf
[8] Michel Polfer (2020) L’importance du mécénat pour les musées, Fondation de Luxembourg Philanthropy Letter, Winter 2020, p. 4.
[9] Kulturentwécklungsplang eBook 1.0 – Septembre 2018, Volume 1, p. 179.
[10] Michel Polfer (2020) L’importance du mécénat pour les musées, Fondation de Luxembourg Philanthropy Letter, Winter 2020, p. 4.
[11] https://www.mudam.com/support; Accessed 7 December 2021.
[12] Michel Polfer (2020) L’importance du mécénat pour les musées, Fondation de Luxembourg Philanthropy Letter, Winter 2020, p. 4.
[13] See more at: https://www.fdlux.lu/fr/node/99/?type=foundation&filter=Focus%20area&tid=77
[14] Pierre Marson (2021) Panorama of Literature and Publishing in Luxembourg, https://www.kulturlx.lu/en/panorama-category/literature-and-publishing/; Accessed 17 November 2021.
[15] Read about the « Tous mécènes d’un Koekkoek ! » crowdfunding action considered to be a national success story here: https://www.mnha.lu/en/the-mnha/patronage/koekkoek-a-success-story
[16] See more at: https://www.fdlux.lu/fr/node/99/?type=foundation&filter=Focus%20area&tid=77
[17] https://www.amcham.lu/events/american-friends-of-mudam-cultural-exchange-with-luxembourg/; Accessed 7 December 2021.
[18] See more at: https://www.fdlux.lu/fr/node/99/?type=foundation&filter=Focus%20area&tid=77
[19] https://paperjam.lu/article/news-luxembourg-an-art-financial-cluster; Accessed 7 December 2021.
[20] http://inartfund.lu; Accessed 18 November 2021.
[21] https://loterie.lu/content/portal/fr/corporate/notre-motivation/games-for-good-causes.html; Accessed 7 December 2021.
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