Cost of living and inflation are key concerns as GVPTA releases 2023 B.C. Arts, Culture, & Heritage Sector Insights Report
Increased costs also impact the viability of cultural spaces that help artists to create work.
GVPTA executive director Kenji Maeda.
THE GREATER VANCOUVER Professional Theatre Association has released results of a province-wide survey aimed at creating a better understanding of the current state of the arts sector.
The fall 2023 B.C. Arts, Culture, & Heritage Sector Insights Report is based on survey responses collected from individual artists, cultural workers, and representatives of arts, culture, and heritage organizations from November 3 to 22, 2023. It looks at factors such as finances, health and wellness, housing, trends, obstacles, outlook, and more.
Of the 431 respondents, 63 percent were individuals, and the other 37 percent responded on behalf of an organization. The top five disciplines represented by organization respondents included theatre (33 percent), community arts (31 percent), museums and heritage (29 percent), music (26 percent), and visual arts (25 percent).
GVPTA executive director Kenji Maeda says the first thing he looks at when reviewing the data are questions about stress, anxiety, and optimism.
“On one hand it’s great to see that on average stress and anxiety is lower compared to two years ago,” Maeda tells Stir. “On the other hand, it’s concerning that more than a quarter of organizations and more than a third of individuals have low or very low optimism that the sector will be healthy and sustainable in 2024. When morale is low, we—the community, government, funders, all of us together—must work better together to address the challenges and do more of what’s working well.
“The areas I’m particularly concerned about right now are the impacts of inflation, cost of living, and rising expenses,” he says. “Almost half—48 percent—of respondents shared that they expect to make less than $30,000 this year, which is not a living wage. One-third—32 percent—said their housing situation is less secure compared to five years ago. And two-thirds—64 percent—shared that more than 30 percent of their income goes toward their rent or mortgage. It should be noted that for CMHC [Canada Mortgage and Housing Corporation], housing is considered ‘affordable’ if it costs less than 30 percent of a household’s before-tax income.”
More than half (56 percent) of the respondents expect their income to be primarily (80 to 100 percent) from work within the sector. One-third (33 percent) shared that their current cash flow situation is somewhat or very unstable.
When it comes to housing, most individuals (85 percent) said that their current housing situation is very or somewhat stable and secure. At the same time, nearly one-third (32 percent) indicated their housing situation is somewhat or a lot less secure compared to five years ago. Sixty-four percent of respondents shared that more than 30 percent of their annual income goes toward their rent or mortgage.
Individuals who identify solely as an artist consistently expect to be working in the arts, culture, and heritage sector over the next 18 months, ranging from 83 percent to 89 percent somewhat or very likely. Cultural workers who are not artists, however, are more unsure about their time in their sector, with “very likely” sentiment dropping from 77 percent in early 2024 to 54 percent anticipating working in the sector in 18 months.
Three of the top four recent obstacles experienced by individuals were related to their health: stress (68 percent), work/life balance (57 percent), and health and safety concerns (47 percent).
Cash flow and managing debt (58 percent) was the second most identified obstacle. When thinking about anticipated obstacles over the coming months, the most common included: cash flow and managing debt (48 percent), stress (39 percent), and work/life balance (32 percent).
Financial stability was also looked at.
Nearly a quarter (23 percent) of respondents are in a somewhat or very unstable cash flow situation. Common reasons for the instability include: increased expenses for programs, activities, rent, and general expenses; limited and loss of funding and fund development options; reduced earned and contributed revenue from number of patrons and ticket sales to sponsorships and donations.
While 11 percent of respondents are assessing the situation, 17 percent are concerned their organization is at significant risk of insolvency, bankruptcy, or ceasing operations within the next 12 months. The most common reason cited for the risk was related to the inability to raise or secure additional funds to support the organization while also producing programs and activities with increased costs.
“When artists and workers in the sector are struggling to pay their rent along with other living expenses, we’re concerned about their health and well-being, and also the potential loss of artists and workers who move onto other sectors, industries, or move outside the province to find work or a more affordable living situation,” Maeda says.
Increased costs are also impacting the viability of cultural spaces that help to enable artists to create, practice, and present their work. Fourteen percent of organizations say they’re very concerned about the unplanned loss of their venue or facility intended for programming and activities.
“Many artists and cultural workers don’t have the luxury to simply shift to home-based offices or spaces,” he adds. “Artists need to practice or rehearse—without disrupting family or neighbours—require discipline-specific equipment, or space large enough to engage with the public.”
With respect to venue and space stability, of the 86 organizations that operate a venue or facility used for programming and activities, 36 percent are a little or somewhat concerned about an unplanned loss of one or more of their spaces within the next year. Fourteen percent are very concerned. Of the 117 organizations with a dedicated office space, more than a quarter (27 percent) have some concern about an unplanned loss of that space within the next year.
Recovery funds were also looked at. More than one-third (34 percent) reported relying on one-time recovery funding received this year from a public agency to keep them operating. More of those organizations accessed recovery supports from BC Arts Council (29 percent) than from any other agency.
“I think we all recognize that inflation and increased expenses are impacting all corners of society and in all regions in the province,” Maeda says. “We also need to recognize that not all sectors are emerging from the pandemic as fast as others. This is why we are urging the federal, provincial, and municipal governments to invest in the arts, culture, and heritage sector, not just to ensure that artists and cultural workers can continue work and spaces can remain open, but also to recognize the contributions that the sector makes toward a vibrant tourism industry, supporting mental health, and creating a well-informed society.”
The survey touched on trends related to programs and activities. The vast majority of respondents (88 percent) reported that their programs and activities this year have stayed the same (40 percent) or increased (48 percent) compared to 2022. While looking toward 2024, half (50 percent) expect it to remain the same, while 36 percent anticipate an increase in the number or scale.
Human resource capacity was taken into account. While reflecting on changes in their human resource capacity, one-quarter (26 percent) of respondents had some or significant increase this year, compared to last year (2022), while one in five (19 percent) experienced a decrease. Expectations moving into 2024 are similar.
The survey covered ticket sales and attendance.
An almost equal percentage said they experienced positive (43 percent) or negative trends (41 percent) with their ticket sales or attendance. Sixteen percent said they experienced both positive and negative trends. Positive trends included: Return to pre-pandemic attendance levels; new audiences (e.g. culturally diverse, wider age range); increased demand for kids and youth educational programs (e.g. day camps, field trips); and patrons purchasing tickets earlier than previous years. Factors that contributed to positive trends included: Thematic programming (eg. lighter, happier content; content tailored to target communities); strong partnerships and collaborations with other organizations; localized marketing and community engagement strategies; outdoor activities and using spaces not typical for the organization; shifting from online to in-person; financial accessibility (e.g. free and flexible pricing options); and patrons creating new routines and improved general sentiment toward attending events.
Negative trends related to ticket sales and attendance included slow recovery of attendance levels; more patron hesitancy for indoor activities compared to outdoor; increase in the number of “no-shows” for purchased tickets; “riskier” or unknown programming was harder to sell; cancelled events and activities due to low ticket sales, or illness within staff, cast, or crew; and more patrons choosing the cheapest tickets.
Factors that contributed to negative trends included: Increased inflation resulted in less funds for patrons to purchase tickets or register; decreased programming and activities due to budget cuts, reducing visibility and consistency with patrons; increased feeling of competition with other events and activities, with patrons’ limited funds; environmental (e.g. wildfires) and geopolitical events impacted finances, personal energy, and mental health; declining neighbourhood safety around event spaces; lack of resources to expand or strengthen programs and activities; difficulty reintroducing live events to some patrons who had been used to an abundance of online programming.
Reflecting on recent obstacles organizations faced, the three most frequently identified were related to increased expenses, including human resources (71 percent), supplies and equipment (66 percent), and insurance (49 percent). Shortage of available volunteers (45 percent), reduced donations from patrons (41 percent), and uncertainty of government response (41 percent) were also shared by nearly half of respondents. For obstacles organizations anticipate facing over the coming months, the three most frequently identified were related to finances, including increased expenses for human resources (69 percent) and supplies and equipment (47 percent) followed by the inability to access or reduced access to government grants (44 percent).
When considering external factors that may directly impact their organization or their individual work or practice, respondents were particularly worried or thinking about: Financial and economic downturn, including inflation, rising costs, and stagnant wages; health and well-being, including COVID and other illnesses impacting staffing levels, shows, exhibitions, and activities; political and government (at all levels) shifts in priority, including potential funding cuts; environmental, including preparing for and responding to wildfires and other extreme weather events; financial and housing instability for artists, workers, and community; loss of or inaccessible infrastructure for creating and sharing; global events and geopolitical tensions impacting community members; ageism, racism, ableism, and other “isms” affecting access to participation, supports, services, and opportunities. For organizations, attracting and retaining qualified staff and volunteers was a concern; For individuals, fewer opportunities to maintain work or practice, with particular need to support at different stages of their career development, were cited a concern.
The survey and report were led by GVPTA on behalf of and in collaboration with a coalition of B.C.-based arts, culture, and heritage service organizations that represent thousands of groups and individuals across B.C., in every community and region. This includes hundreds of cultural businesses, venues, festivals, consultants, and independent practitioners, as well as thousands of professional artists, cultural practitioners, and volunteers throughout the province.
Coalition members include: Arts BC, BC Alliance for Arts + Culture, BC Museums Association, BC Music Festival Collective, British Columbia Choral Federation, Canadian Alliance of Dance Artists/West Chapter, Canadian Music Centre BC, Dance West Network, New Works, Vancouver Musicians Association, Local 145 of the AFM, and Vines Art Society, among others.
When it comes to governance and structure of the non-profit and charitable organization respondents, 65 percent have a governance board, 17 percent a working board, and 12 percent operate somewhere in between working and governance. When offered a selection of shapes, more than a quarter (29 percent) chose the interconnected dots to represent their decision-making structure. When asked to describe why they chose a particular shape or image, the themes of collaboration and sharing leadership was communicated across most of the image options.
What’s making Maeda feel hopeful are reflections that people shared about what's gone well over the past year, from individuals who said they’re taking themselves more seriously as an artist to someone who got their first grant, to an organization that opened a brand-new facility.
“There are positive stories from across the province,” Maeda says, “but we don’t want the positive reflections of ‘I survived this year’ to be seen as an acceptable narrative year after year.
“The report has been shared with government, funders, grantmakers, and other stakeholders to give them a snapshot of where our sector is at,” he says. “This report, along with other data, reports, and stories from the community, will be leveraged in advocacy efforts that the BC Coalition of Arts, Culture, and Heritage undertakes.”
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