Decline in Funding Sees Arts Institutions in Strife

Melbourne, a city once known for its arts sector, faces industry degradation as state government funding declines. 

Victoria has seen a $20 million decline in support for the arts industry over the past five years. 

Writers Victoria’s board chair Janice Gobey said the decline represented how little interest the Victorian Government has in the arts. 

“There’s no money to go around and there’s other competing priorities,” she said. 

At least 14 cultural institutions faced complete loss of support in 2025, with no certainty they would be able to remain functional. 

The arts contributed $40 billion to the state’s economy in 2025. 

Victoria has an estimated debt of $187 billion, with spending focused on public transport and road infrastructure.

Projects like the Metro Tunnel were costly, leaving other sectors like the arts with less funding. 

Writers Victoria was one of 14 organisations defunded in December according to ArtsHub.

The institution has been around since 1989 and its removal from state support means Victoria is now the only Australian state without a government-funded writers’ body. 

Abbotsford Convent is another cultural institution that has had its funding revoked. 

Experience Manager at Abbotsford Convent Deanna Smart said this will have a direct impact on artists. 

“Those cuts hit the development of artists, the support of artists at the convent, but also impact their practice development, [and] opportunities beyond the convent,” she said. 

Since opening as a studio space, the former catholic nunnery has become a workspace for 120 tenants, housing solo artists and community groups. 

The convent is one of only three creative institutions enshrined on Australia’s Natural Heritage list.

“We have to look ahead and look at how we can actually support the creative ecosystem,” Ms Smart said.

Both Writers Victoria and Abbotsford Convent support artists in their creative practice. 

Without government support, these organisations struggle to stay open.

Writers Victoria launched a petition in January that has garnered over 10,000 signatures. 

The support has triggered a parliamentary debate, which is set for March 31 according to Writers Victoria. 

“We know that both the Liberals and Greens will support us,” said Janice Gobey. 

“It will create a lot of attention in an election year because they are starting to campaign now and there are some marginal seats that are held by the Greens and a lot of artists live in those seats,” she said. 

Writers Victoria and Abbotsford Convent are uncertain about how they may continue to function, but remain optimistic and are grateful for the continued support from the public. 

“We are very much glass-half-full over at the Convent,” Ms Smart said.