Museums should be 'business like'

The Tate Museum endorsed branded paint as a moneyspinner

Museums and galleries should become more "business-like" in their quest for funding and fundraising, say MPs.

Seventeen government-sponsored venues received grants worth £280m last year, and generated an additional £108m.

But the Public Accounts Select Committee said the success of fundraising activities varied, with some events actually losing money.

Publicly-backed venues include London's Tate Gallery and the North East's Tyne and Wear Museums.

The committee's report suggested museums and galleries draw up five year targets for income growth.

"Income raised by the museums and galleries from fundraising, trading and admissions enables them to invest in their collections and provide better access, facilities and education to the public," said committee chairman Edward Leigh.

"Earnings have been variable in recent years, and museums and galleries need to be much more business-like to tap into the potential for further growth."

Key government-sponsored institutions V&A, London National Gallery, London National Museums, Liverpool Wallace Collection, London Museum of Science and Industry, Manchester Royal Armouries, London

The report suggested that when fundraising museums and galleries were generally competent when it came to food and retailing but had less of a grasp on hiring of venues and publishing.

'Inadequate'

It said the establishments should draw on the Department for Media, Culture and Sport to help them find funds to invest in money-making ventures.

"Unbelievably, some museums and galleries have made losses on activities that were supposed to generate income, and have an inadequate grasp on the costs involved," said Mr Leigh.

"All museums and galleries must be more robust in their planning. They should establish five-year targets for income growth and set out how these will be achieved; in doing so they must properly identify which activities are profitable and the risks to be managed."

Mr Leigh called on the DCMS to promote the sharing of skills and aiding them in fundraising.

The report praised a number of fund-raising schemes implemented by museums and galleries around the country.

These included the Air Prom flying displays to music at the Imperial War Museum in Duxford, Cambridgeshire, historic train rides at the Museum of Science and Industry, Manchester and the selling of Tate Museum-branded paint at B&Q DIY shops.