Arts Council England has revealed the thinking behind its decision to refuse Oldham Coliseum funding and the roadmap for the theatre's future.

The Fairbottom Street theatre has been financially supported by Arts Council England (ACE) for decades through its National Portfolio Organisation (NPO) fund, the sums of which form up to a third of all of the Coliseum's income.

However, its latest NPO bid for £615,182 per annum for 2023 to 2026, totalling more than £1.845 million, was rejected by the Arts Council in November last year.

Last week, the Coliseum then cancelled all of its shows from March onwards throughout 2023 as a result of the funding snub.

Oldham Coliseum application 'failed'

In an exclusive interview with The Oldham Times, ACE's North Area Director, Sarah Maxfield, said NPO funds are just one funding stream - and the competition is tough.

Ms Maxfield said: "The funding is not guaranteed. It doesn't automatically roll over from one funding period to the next."

What made this year's round of applications particularly tough was a combination of an influx of applications and a new arts policy which focuses on bringing culture closer to people.

Ms Maxfield added: "Because we've done this new strategy which sets out to try and reach new kinds of audiences and new kinds of organisations, we had 1,700 applications across the country which was more than twice the number of organisations that were previously in the portfolio.

"So it was very, very competitive this time."

But, she said, the application submitted by the Coliseum was deemed "very high risk".

She explained: "The major factor was that what they were proposing just didn't make a strong case for investment of public money and it was also assessed as being a risk in terms of our responsibility to make sure that public money is spent well."

Operating at a loss

The Coliseum's accounts and annual returns, published publicly on the Charity Commission website, suggest the theatre company has been operating at a loss for some time.

There's been a rapid turnover of management and trustees at the charity with various chairs and chief executives resigning over the years while audience figures have declined since 2016.

Cultural offering

Ms Maxfield said while the Coliseum is a "well-loved fixture" in the town, it has been going for more than 135 years and is now "in more than a mild state of disrepair".

“We invested some money to develop a vision for this new performing arts space and we are working hand-in-hand with the Council to ensure that this new space, which will be comfortable both for modern audiences and for performers, really gives a strong future for theatre in the town."

Original plans were proposed for a new cultural quarter, including a new £27m coliseum, which fell through in 2018.

The latest proposals for the cultural quarter were one of two bids submitted last year for a £20m 'Levelling Up' grant but it was rejected last month.

Ms Maxfield said while ACE couldn't support the Coliseum's NPO application, it has ringfenced £1.85m for Oldham as a whole borough - the same amount which would have been invested into the Coliseum.

“We have earmarked that against a proposal which we’re expecting Oldham Council to develop which will be for a programme of theatre, of talent development, of working communities right across the borough over the next three years to make sure that there is still a really strong cultural programme and that will go in tandem with the council’s plans to develop this new performance space.”

Coliseum in a "complex position"

In an interview with The Stage, the Coliseum's Artistic Director, Chris Lawson, said the company was in a "complex position" over the new arts venue which, while is in development, is not due to be completed for another three years.

Mr Lawson also said he believed the £1.85 million ringfenced funds would not be handed to Oldham Coliseum but said the company needed some sort of financial security until the new building is ready. 

Supported by transitional funding

In the meantime, ACE said seven months of the equivalent £615,000 NPO funds have been granted to the Coliseum through a separate application for project funding.

Ms Maxfield stressed this was not a courtesy offer but just another form of funding that any non-NPO can apply for.

She explained: "We haven't made them an offer but they are still being funded by us to the end of March through their NPO grant and then we've given them this transition grant of seven months of funding through to October."

Oldham to benefit

While the Coliseum did lose out, two Oldham-based arts organisations did have their NPO bids approved this year with Peshkar receiving a higher slice while Portraits of Recovery celebrated NPO status for the first time in its history.

Leader of the Council, Amanda Chadderton, said last week: "Oldham Council is committed to making sure that Oldham continues to have a thriving performing arts and cultural offer and over the coming months.

READ MORE: Oldham leaders 'devastated' by Coliseum Theatre news

"This will include working with the Coliseum to find the best way forward for the future of theatre in Oldham."