7. Financing and support
The Netherlands
Last update: July, 2019
In the Netherlands, approximately two-thirds of public cultural expenditure comes from the municipalities, spending EUR 107.81 per capita on average in 2017. Average spending by the provinces in 2017 is EUR 17.70 per capita, and the central government spends EUR 43.36 per capita. The gross cultural expenditure per capita in 2017 (excluding media) was EUR 168.37 when using the data from Statistics Netherlands and the annual reports of the Ministry of Education, Culture and Science. Using Eurostat’s COFOG ‘99 classification, cultural expenditure per capita is EUR 175.92 (2017).
Until 2009, the contribution of culture to GDP always fluctuated at around 2.5 percent. In 2012, the contribution of culture to GDP declined to 2.3 percent. In 2016 this figure is the same.
Public expenditure on culture in percentage of the GDP in 2017 was 0.4 percent.
Public expenditure on culture in percentages of the total public expenditure in 2017 was 0.96 percent (COFOG ‘99). This shows a decrease of 15.6 percent compared to the situation in 2005 (1.25 percent) but an increase of 6.7 percent when compared to 2015 (0.90 percent). This is mainly caused by the culmination of budget cuts that became effective in 2015 in all three tiers of government after the main budget cuts on culture by the central government in 2013. These budget cuts were followed by cuts in provincial (2014) and municipal (2015) funding of culture.
Last update: July, 2019
Table 5: Public cultural expenditure by level of government, 2012 and 2017*
Level of government | 2012 | 2017 | ||||
---|---|---|---|---|---|---|
Total expenditure in EUR | % share of total* | Per capita | Total expenditure in EUR | % share of total | Per capita | |
State (central) | 910 840 000 | 33 | 53.26 | 801 560 000 | 27 | 43.36 |
Regional (provincial) | 221 000 000 | 8 | 13.21 | 301 503 000 | 10 | 17.70 |
Local (municipal) | 1 668 000 000 | 60 | 99.70 | 1 836 053 000 | 64 | 107.81 |
TOTAL | 2 779 990 000 | 100 | 166.16 | 2 875 971 000 | 100 | 168.37 |
Sources:
Ministry of Education, Culture and Science, Statistics Netherlands (2015) - Statline; Statistics Netherlands (2018) - Expenditures on culture by municipalities and provinces; Ministry of Education, Culture and Science (several years) - Annual Reports.
Note:
*The method for gathering these data changed in 2017 so the amounts in the years 2012 and 2017 are not comparable. This data is provided nonetheless because no reliable data is available from the period between 2012 and 2017.
Due to rounding-off of the percentages, the sum may exceed 100%.
Table 5a: Government expenditures on cultural services in 1995-2017 (in million euros)
Year | General government | National government | Local governments |
---|---|---|---|
1995 | 1475 | 986 | 974 |
2000 | 2405 | 717 | 1479 |
2005 | 2859 | 814 | 1924 |
2010 | 3453 | 1063 | 2385 |
2015 | 2746 | 781 | 1971 |
2016 | 3063 | 1061 | 1967 |
2017* | 3005 | 955 | 2046 |
Source:
Statistics Netherlands.
Notes:
* Figures on 2017 are provisional.
Historically, on average 87.8 percent of local governments’ total expenditures on cultural services is covered by municipalities, and 12.2 percent by provinces.[1]
[1] Meerkerk, E. van and Q.L. van den Hoogen (eds.). 2018. Cultural Policy in the Polder: 25 Years Dutch Cultural Policy Act. Amsterdam: Amsterdam University Press, 295.
Last update: July, 2019
Table 6.1: Direct state cultural expenditure and transfers (central level): by sector, 2017, in 1000 EUR
Field/Domain/Sub-domain | TOTAL |
of which: Direct expenditure (of government or its agencies) | of which: Transfers | ||
---|---|---|---|---|---|
in 1000 | in % |
to
other levels of government | to NGOs, companies, individuals | ||
I. Cultural Heritage | 395 166 | 18.9 | |||
Historical Monuments* | 96 589 | 4.6 | |||
Museums | 188 441 | 9.0 | |||
Archives | 64 558 | 3.1 | |||
Libraries | 45 578 | 2.2 | |||
Intangible Heritage / Folk Culture | |||||
II. Visual Arts | 33 209 | 1.6 | |||
Fine Arts / Plastic Arts | |||||
Photography | |||||
Architecture*** | |||||
Design / Applied Arts | |||||
III. Performing Arts | 193 119 | 9.2 | |||
Music | |||||
Theatre, Music Theatre, Dance | |||||
Multidisciplinary | |||||
IV. Books and Press | 18 007 | 0.9 | |||
Books | |||||
Press | |||||
V. Audiovisual and Multimedia | 997 678 | 47.8 | |||
Cinema | |||||
Television | |||||
Sound recordings | |||||
Radio | |||||
Multimedia | |||||
VI. Interdisciplinary | |||||
Socio-culture | |||||
Cultural Relations Abroad | |||||
Administration**** | |||||
Cultural Education**** | 56 300 | 2.7 | |||
VII.
Not covered by domain I-VI | |||||
TOTAL | 2 088 645 | 100 |
Source:
Brom et al. (2019)
Note:
* These are expenditures on all heritage excluding expenditures on museums, which are mostly, but not only, expenditures on monuments.
Table 6.2: Direct regional cultural expenditure and transfers: by sector, 2017, in 1000 EUR
Field/Domain/Sub-domain | TOTAL |
of which: Direct expenditure** (of government or its agencies) | of which: Transfers** | ||
---|---|---|---|---|---|
in 1000 | in % |
to
other levels of government | to NGOs, companies, individuals | ||
I. Cultural Heritage | 209 183 | 69.4 | |||
Historical Monuments | 102 402 | 34.0 | |||
Museums | 46 794 | 15.5 | |||
Archives | 15 962 | 5.3 | |||
Libraries | 44 025 | 14.6 | |||
Intangible Heritage / Folk Culture | |||||
II. Visual Arts | 4 855 | 1.6 | |||
Fine Arts / Plastic Arts* | 4 855 | 1.6 | |||
Photography | - | ||||
Architecture | - | ||||
Design / Applied Arts | - | ||||
III. Performing Arts | 26 360 | 8.7 | |||
Music | |||||
Theatre, Music Theatre, Dance | |||||
Multidisciplinary | |||||
IV. Books and Press | 2 003 | 0.7 | |||
Books | |||||
Press** | 2 003 | 0.7 | |||
V. Audiovisual and Multimedia | 3 252 | 1.1 | |||
Cinema | |||||
Television | |||||
Sound recordings | |||||
Radio | |||||
Multimedia | |||||
VI. Interdisciplinary | 17 108 | 5.7 | |||
Socio-culture | |||||
Cultural Relations Abroad | |||||
Administration | |||||
Cultural Education | 17 108 | 5.7 | |||
VII. Not covered by domain I-VI | 38 742 | 12.8 | |||
TOTAL | 301 503 | 100 |
Source:
Statistics Netherlands
Notes:
* Finances covering visual arts and design are combined.
** Finances covering local press and local broadcasting companies are combined.
Table 6.3: Direct local cultural expenditure and transfers: by sector, 2017, in 1000 EUR
Field/Domain/Sub-domain | TOTAL |
of which: Direct expenditure (of government or its agencies) | of which: Transfers | ||
---|---|---|---|---|---|
in 1000 | in % |
to
other levels of government | to NGOs, companies, individuals | ||
I. Cultural Heritage | 807 419 | 43.9 | |||
Historical Monuments | 107 712 | 5.9 | |||
Museums | 250 109 | 13.6 | |||
Archives | 55 915 | 3.0 | |||
Libraries | 393 683 | 21.4 | |||
Intangible Heritage / Folk Culture | |||||
II. Visual Arts | 55 301 | 3.0 | |||
Fine Arts / Plastic Arts* | 55 301 | ||||
Photography | |||||
Architecture | |||||
Design / Applied Arts | |||||
III. Performing Arts | 508 887 | 27.7 | |||
Music | |||||
Theatre, Music Theatre, Dance | |||||
Multidisciplinary | |||||
IV. Books and Press | 24 975 | ||||
Books | |||||
Press** | 24 975 | ||||
V. Audiovisual and Multimedia | 45 564 | 2.5 | |||
Cinema | |||||
Television | |||||
Sound recordings | |||||
Radio | |||||
Multimedia | |||||
VI. Interdisciplinary | 199 246 | 10.9 | |||
Socio-culture | |||||
Cultural Relations Abroad | |||||
Administration | |||||
Cultural Education | 199 246 | 10.9 | |||
VII. Not covered by domain I-VI | 194 661 | 10.6 | |||
TOTAL | 1 836 053 | 100 |
Source:
Statistics Netherlands
Notes:
* Finances covering visual arts and design are combined.
** Finances covering local press and local broadcasting companies are combined.
Last update: July, 2019
Cultural entrepreneurship
Before state funding came into being, the cultural support system in the Netherlands was built around private initiatives and social associations. In the second half of the 19th century, many important Dutch museums were initiated, mostly in cooperation with municipalities. The museums were financed and managed by a small, elite group. After World War II, central government intensified policy-making in the field of the arts and culture. From the 1960s onwards, almost all major institutions received subsidies from the state. However, they mostly functioned relatively autonomous from central state policy and often still had private board members.
Towards the end of the 20th century, this autonomous position of cultural institutions was strengthened. In the 1990s, both the central government and the municipalities distanced themselves from museums. The museums were privatised: they became foundations with an autonomous management, separated from the subsidising governments. Due to the economic crisis of 2008, cultural institutions had to devote more energy to obtaining private income. It became a general belief that institutions could show their importance (and hence value) and impact by generating additional private funding.
The government is stimulating artists and cultural institutes to generate funds themselves, which is a development that finds its roots in the 1980s. It was put on the agenda strongly by State Secretary Rick van der Ploeg (1998-2002), who introduced the term cultural entrepreneurship. The development culminated in the policy of State Secretary Halbe Zijlstra in the Rutte I Cabinet (2010-2012). This cabinet initiated the Cultural Entrepreneurship Programme (2012- 2016). The organisation Culture+Entrepreneurship develops programmes and training courses to stimulate the entrepreneurship of cultural organisations and artists.
Last update: July, 2019
The public cultural funds play a key role in executing the national cultural policy by distributing structural or project-based subsidies. In 2012, the public cultural funds renewed the Conduct Code for Culture Funds. The code was formulated to ensure a transparent, efficient and precise working process in all the funds. Artists can turn to these funds for subsidies, which most often takes the form of project funding or funding for the development of talented young artists.
The Performing Arts Fund NL supports professional music, music theatre, dance, theatre and festivals in the Netherlands.
The Cultural Participation Fund supports innovative initiatives that create cultural participation among all Dutch citizens. The fund aims to build a bridge between Dutch society and culture and to increase and encourage cultural participation. Its 2017-2020 policy plan focuses on: better embedding of cultural education in primary education and lower vocational education (EUR 16.1 million); supporting innovation in amateur arts (EUR 5.9 million); and broadening support for cultural participation (EUR 0.5 million).
The Mondriaan Fund aims to stimulate the development and visibility of the visual arts and cultural heritage in the Netherlands. It provides financial support in areas where a profitable market does not exist (yet). Many of the Mondriaan Fund's grants are aimed at encouraging cooperation between organisations, artists, mediators, clients and/or other private or public parties. It grants funding for various target groups and areas including visual artists, institutions, mediators of clients in the visual arts and/or cultural heritage fields. Furthermore, it organises development programmes for promotion and innovation in the visual arts, such as the Prix de Rome and a private arts buyers scheme (KunstKoop). Through the latter, people can buy art on credit at over 100 galleries spread across the Netherlands. The Mondriaan Fund is also responsible for the Dutch entries for the Venice Biennale.
The Creative Industries Fund NL started operating in 2013 on behalf of the Ministries of Foreign Affairs, Economic Affairs and Education, Culture and Science. The fund awards project-based grants in order to: 1) foster substantive quality in urban, landscape, product and graphic design, architecture, fashion and e-culture; 2) to foster innovation and cross-sector approaches; and 3) to professionalise entrepreneurship. An important concern is the improvement of the relationship between designers/makers and clients/manufacturers. The fund has three basic granting programmes, covering architecture, product design and e-culture (in a broad sense).
The Netherlands Film Fund is responsible for supporting Dutch film production. It focuses on the quality and diversity of feature films, documentaries, shorts, animation and experimental films. By giving priority to script writers and filmmakers, the fund intends to ensure the quality of Dutch films. The creativity and the professional development of filmmakers, ‘quality over quantity’ and a better balance between supply and demand are among the priorities in the 2017-2020 Strategic Plan of the Dutch Film Fund.
The Dutch Foundation for Literature supports writers and translators, and promotes Dutch literature abroad. It invests in the quality and diversity of literature through grants for writers, translators, publishers and festivals, and contributes to the production and distribution of Dutch and Frisian literature in the Netherlands and abroad. Artistic quality, professionalism and social value are the guiding criteria in the fund’s policy.
Public media funds
There are two public funds regarding media affairs: the Co-productiefonds Binnenlandse Omroep (Co-production Fund National Broadcasting) and the Dutch Journalism Fund. These funds are not included in the national basic infrastructure, but are managed using different policy and cash flows. The Dutch Cultural Media Fund was dismantled on January 1st, 2017. The tasks of the fund are taken over by the Dutch Foundation for Public Broadcasting (NPO).
Next to the public funds, several private funds provide artist stipends, most often aimed at the development of promising careers.
Last update: July, 2019
Both the government and private institutions award prizes to cultural professionals in various fields. In the last few decades, there has been a marked growth in the number of prizes, which has a significant impact on cultural production and consumption. Their number can be estimated at over 700, varying in many ways: from oeuvre prizes to encouragement prizes for young talent or specific groups like students, women or the elderly; from national, provincial and regional/municipal prizes to prizes named after a person with exceptional merits in a specific area; from large or small sums of money to statues or commemorative coins; and from all possible sectors in the field of arts, cultural heritage and media, literature and libraries to trans-sector prizes for arts education, art criticism or cultural diversity.
The Johannes Vermeer Award and the Prix de Rome are two of the most famous prizes awarded by the central government. The Johannes Vermeer Award rewards exceptional talent in the arts, in order to honour the artist's work and to stimulate future projects. To this effect, the laureate receives EUR 100 000. The Prix de Rome is awarded to exceptional artists and architects younger than 40 years of age, in order to trace talent and trends in the visual arts.
Besides these state awards, notable awards are for instance the Royal Award for Modern Painting which was instituted by King Willem III in 1871 and is nowadays handed out by King Willem-Alexander. The Louis d’Or (best male actor) and the Theo d’Or (best female actor) are awarded by the Association of Directors of Theatres and Concert Halls (VSCD). The VSCD also awards the Golden and Silver Cricket for best youth theatre productions. The Bank for Dutch Municipalities (BNG) awards a yearly prize to the municipality with the best policy on cultural heritage. Several film festivals know well respected awards, amongst which the Netherlands Film Festival (Golden Calves) and the International Film Festival Rotterdam (Tiger Awards). Several commercial organisations also hand out awards. Grants and scholarships are mostly awarded by the cultural funds.
Last update: July, 2019
In the Netherlands, there is no direct support from the government to artists' associations or unions. Artists' unions are financed by their members. There is no official negotiation mechanism between the professional artists' trade unions and the government. Artists and their organisations make themselves heard in public, but their direct influence is modest.
Central government provides support to service organisations for artists, such as Culture+Entrepreneurship (see chapter 7.2.1).
Last update: July, 2019
Independent associations and foundations
The Prince Bernhard Cultural Foundation is the largest private cultural foundation in the Netherlands. It stimulates the conservation of nature and culture by supporting over 3 500 initiatives, individuals and projects every year. The VandenEnde Foundation was founded in 2001. Its focus is on stimulating cultural entrepreneurship and increasing the interest of young people in culture. It offers scholarships for talented young people, to enable them to further develop their opportunities. The VSB Fund provides funding for cultural projects that focus on the public and participants, stimulating the connection or interaction between art and people. The Turing Foundation focuses on, amongst other things, art, visual arts, classical music and Dutch poetry in particular. Fund 21 directs its funding towards projects that engages with either arts and culture, or with youths and society.
Sponsorship
In the 1990s, the Ministry of Education, Culture and Science drew up a code for the sponsors of cultural events, called the Culture Sponsor Code. In this code, various rules for a sponsor relationship are defined and the framework for sponsorship agreements is stipulated. The most important aspect of the code is that, in principle, the sponsor is not allowed to influence the actual content of the activity organised by its cultural public partner. Most large Dutch banks have their own departments dealing with cultural sponsorship.
Sponsorship spending in the Netherlands has been decreasing since 2010. In 2018, the total spending on sponsorship was EUR 760 million (a decrease of 11 percent compared to 2010). In 2018, 12.6 percent of the money spent through sponsorships in the Netherlands, was spent on arts and cultural heritage (Sponsor Monitor 2019).
Donations
The Ministry of Education, Culture and Science set up the Cultural Entrepreneurship Programme (2012- 2016). Cultural organisations and producers are supported in their entrepreneurial efforts in the form of advice, coaching and supervision to find alternative funding. The main aim is to reinforce entrepreneurship in the cultural sector among both organisations and makers. An important part of this policy is to encourage ‘giving to culture’. The government aims to support donations to the arts and culture with its Gift and Inheritance Tax Act (Geefwet) and donation campaign.
In 2009, the Dutch population gave approximately EUR 4.7 billion to good causes. About 10 percent of that amount, EUR 454 million, went to culture. In 2013, donations increased to nearly EUR 4.4 billion and approximately 284 million went to culture. In 2015, both figures increased: the Dutch population gave EUR 5.7 billion, and EUR 511 million went to culture (table 7.1). With the Gift and Inheritance Tax Act, which was implemented in the Netherlands on 1 January 1st 2012, the government hoped to encourage private individuals to make donations to cultural institutions by offering (additional) income tax benefits (see chapter 4.1.4).
Table 7.1: Private financial contributions to arts and culture in the period 2005-2013 (in EUR million)
1997 | 1999 | 2001 | 2003 | 2005 | 2007 | 2009 | 2011 | 2013 | 2015 | |
---|---|---|---|---|---|---|---|---|---|---|
Households | 30 | 32 | 39 | 26 | 37 | 24 | 33 | 26 | 59 | 36 |
Legacies | 1 | 5 | 11 | 2 | 7 | 2 | 6 | 3 | 7 | |
Funds | 16 | 25 | 22 | 35 | 125 | 82 | 76 | 69 | 79 | 64 |
Companies | 49 | 116 | 274 | 516 | 135 | 235 | 296 | 124 | 80 | 219 |
Lotteries | 26 | 33 | 38 | 46 | 68 | 63 | 59 | |||
Total donations to culture | 95 | 174 | 340 | 614 | 332 | 386 | 453 | 293 | 284 | 384 |
Percentage of donations to culture in all donations | 7.0 | 8.5 | 9.6 | 6.9 | 6.5 | 7.4 |
Sources:
Bekkers, R., Th. Schuyt and B. Gouwenberg (eds.). 2017. Geven in Nederland 2017: huishoudens, nalatenschappen, fondsen, bedrijven, goede doelenloterijen en vrijwilligers. Amsterdam: Lenthe. The authors note that “for households and companies, these figures are estimates, and therefore it should be emphasised that because of the lack of a complete sampling frame, it is impossible to make generalisations for the entire population of capital funds and bequests” (own translation: 241).
Lotteries
The Netherlands has several lottery organisations that donate to culture. Most notably, these are the National Postcode Lottery and the Bank Giro Lottery.
Friends' societies and volunteers
A growing number of subsidised cultural institutions have friends' societies or private support systems. Especially in the Dutch museum sector, friends' societies can play an important role. But this kind of support is also important in other sectors. About 250 000 people are, in one way or another, related to the many museums in the Netherlands.[1]
Numbers on the amount of volunteers in the field of culture vary from 3 percent to 9 percent of Dutch citizens, depending on how culture and cultural activities are defined.[2] There is a significant increase in the number of volunteers within the sectors of museums, libraries and performing arts. In the amateur arts sector, volunteers play an important role as well.
Crowdfunding
Crowdfunding, the practice of funding a project or artist by raising small amounts of money from a large group of people, mostly via the internet, is gaining ground in the Netherlands. Since the state budget cuts to culture were announced in 2011, a lot of artists and institutions have started using the crowdfunding model to (attempt to) finance their projects. In the Netherlands, with its wide range of digital crowdfunding platforms, the amount of money collected in this way has increased exponentially: from EU 0.5 million in 2010 to EUR 14 million in 2012 and EUR 329 million in 2018, of which EUR 13.1 million went to creative projects (with an average funding of EUR 13.061 per project).
Investments and loans
In 2006, the first general investment fund for culture was established by the Triodos Bank. Its Culture Fund had the character of an obligations fund: if the interest on the finance market rises, the exchange rate decreases. The Culture Fund was a semi-open-ended fund, meaning that the issuing of shares passes through a bank, and the purchasing of shares is possible via all the Dutch banks. In 2013, the fund volume of the Culture Fund was EUR 103.6 million. In 2018, Triodos announced that the Culture Fund will be dissolved.
The platform Culture+Entrepreneurship provides loans to artists, creatives and cultural institutions. For credits between EUR 10 000 and 50 000, Culture+Entrepreneurship cooperates with the Triodos Bank. The loan is intended for durable investments, like the financing of musical instruments or the renovation of a building or an atelier. For larger cultural institutions, it is also possible to request a larger credit from the Triodos Bank. In 2018, Culture+Entrepreneurship also launched the Gallery Loan which is a revolving fund providing gallerists (that very often face difficulties in getting loans at banks) the possibility to take a loan of up to EUR 40 000 with 3 percent interest.
[1] Smithuijsen, Cas and Lisa van Woersem. 2013. “Van draagvlak naar draagkracht.” Boekman 97: 86.
[2] Arends, J. and H. Schmeets. 2018. Vrijwilligerswerk: activiteiten, duur en motieven. The Hague: Statistics Netherlands; Bekkers, R., Th. Schuyt en B. Gouwenberg (eds.). 2017. Geven in Nederland 2017: huishoudens, nalatenschappen, fondsen, bedrijven, goede doelenloterijen en vrijwilligers. Amsterdam: Lenthe; Broek, A. van den and Y. Gieles. 2018. Het culturele leven: 10 culturele domeinen bezien vanuit 14 kernthema’s. Den Haag: SCP.