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Perth & Kinross Council has authorised a £170,000 cash injection for Culture Perth & Kinross, the charity that manages its cultural services.
The trust, which runs several sites in the city including the new Perth Museum, is facing a deficit that is “significantly more” than originally budgeted for, according to a report to the council’s finance committee.
The deficit partly stems from additional costs relating to pay and historic equal pay claims, as well as high running costs at the trust’s venues, particularly Perth Museum.
The museum opened in March 2024 after a £27.2m development.
The trust reported to the council in November that the new museum's in-house café was running at a loss due to high overheads. The trust has been unable to find a private operator to run the café, despite putting the contract out to tender twice ahead of the museum's opening.
The council agreed last year to underwrite £230,000 in potential upfront costs for the café. The trust used £60,000 to pay for fixtures and fittings in the café, but the remaining £170,000 was not required at the time.
Councillors agreed this week that the remaining funds could be allocated to the trust if needed.
The council report said: “Culture Perth and Kinross are currently projecting a deficit for 2024/25 that is significantly more than the level originally budgeted. They have experienced additional costs relating to the current year pay award, to historic equal pay claims and to the running costs of their establishments, particularly Perth Museum.
“Should these projections come to bear, Culture Perth & Kinross will have negative unrestricted reserves as at 31 March 2025. Council officers will continue to work with Culture Perth & Kinross to provide support and challenge but ultimately there may be a requirement to provide additional funding in the current year.”
Culture Perth & Kinross reported in January that 225,000 people had visited Perth Museum since it opened last year, including more than 78,150 visitors to see the Stone of Destiny.
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