Independent Review of Creative Scotland

Annex B: Legal basis of Creative Scotland

Public Services Reform (Scotland) Act 2010

Formed on 1 July 2010, Creative Scotland is an executive non-departmental public body of the Scottish Government. The Public Services Reform (Scotland) Act 2010^[120] sets the general functions for Creative Scotland:

a) identifying, supporting and developing quality and excellence in the arts and culture from those engaged in artistic and other creative endeavours

b) promoting understanding, appreciation and enjoyment of the arts and culture

c) encouraging as many people as possible to access and participate in the arts and culture

d) realising, as far as reasonably practicable to do so, the value and benefits (in particular, the national and international value and benefits) of the arts and culture

e) encouraging and supporting artistic and other creative endeavours which contribute to an understanding of Scotland's national culture in its broad sense as a way of life

f) promoting and supporting industries and other commercial activity the primary focus of which is the application of creative skills

In addition, the Public Services Reform (Scotland) Act 2010 explicitly requires that:

in exercising the function mentioned in subsection (1)(c), Creative Scotland must do so with a view to increasing the diversity of people who access and participate in the arts and culture.

And that:

Scottish Ministers may give Creative Scotland directions (of a general or specific nature) as to the exercise of its functions. But […] may not give directions so far as relating to artistic or cultural judgement in respect of the exercise of Creative Scotland's functions^[121]

National Lottery etc. Act 1993

As one of the National Lottery Good Causes, Creative Scotland has obligations within the National Lottery etc. Act 1993^[122] regarding the use of National Lottery Funds.

Section 34(2A) of the National Lottery etc Act 1993^[123] states “proceeds of the National Lottery should be used to fund projects, or aspects of projects, for which funds would be unlikely to be made available by […] the Scottish Ministers”.

Scottish Ministers have given the following directions to Creative Scotland, in exercise of the power conferred by section 26(1) as read with section 26A(1)(a) of the National Lottery etc. Act 1993 and having consulted with Creative Scotland pursuant to section 26(5) of that Act.^[124]

“In determining the persons to whom, purposes for which and the conditions subject to which they apply any money under section 25(1) of the National Lottery etc. Act 1993 in Scotland, Creative Scotland must take into account the following matters:

A. The need to ensure that money is distributed under section 25(1) for projects which promote the public good and which are not intended primarily for private gain.

B. The principles of:

• Engagement – the development of programmes should be based on the active engagement of public, private and third sector partners, as appropriate;
• Cohesion – ensuring that individuals and communities across Scotland have the opportunity to contribute to, participate and benefit from a more successful Scotland;
• Sustainability – to improve Scotland’s environment today and for future generations while reducing Scotland’s impact on the global environment;
• Additionality – the development of programmes should complement and add value to the strategies of partners and stakeholders;
• Collaboration – where possible the outcomes of projects and programmes should benefit from effective collaboration between public, private and third sector partners.

C. The need to ensure that Creative Scotland considers applications which relate to the complete range of cultural, artistic and creative activities, in respect of which, it has the power to distribute money and its general functions as listed in the Public Services Reform (Scotland) Act 2010.

D. The need to set specific time limits on the periods in respect of which grants are payable, whether for capital or revenue expenditure.

E. The need:

a) in all cases, for applicants to demonstrate the financial viability of the project for the period of the grant;

b) where capital funding is sought:

(i) for a clear business plan incorporating the need for resources to be available to meet any running and maintenance costs associated with each project for a reasonable period, having regard to the size and nature of the project; and

(ii) to ensure that project evaluation and management process for major projects match those of the Cabinet Office’s Gateway Reviews.

c) in other cases, for consideration to be given to the likely availability of other funding to meet any continuing costs for a reasonable period after completion of the Lottery award, taking into account the size and nature of the project, and for Lottery funding to be used to assist progress towards financial sustainability.

F. The need to ensure that Creative Scotland has such information as it considers necessary to make decisions on each application, including independent expert advice where required.

G. The need to include a condition in all grants to acknowledge Lottery funding using the common Lottery branding.

H. The need to keep the Scottish Government informed of the development of policies, setting priorities and making grants.

I. The need to operate within the distinctive policy context in Scotland, adding value where appropriate to Scottish Ministers’ strategy; with the development of opportunities for everyone to flourish within a more successful and sustainable Scotland.”