TWO local arts institutions are to have their funding cut, as the Welsh Government looks to make saving in the next few years.

The Torch Theatre, Milford Haven, and Cardigan’s Theatr Mwldan will see their funding from the Arts Council of Wales (ACW) cut by 2.1 per cent next year.

ACW is making the cuts following a reduction of £1million in the amount it receives from the Welsh Government.

The Torch has already seen its £460,000 annual grant from ACW cut to £455,400 for 2014-15, and the 2.1 per cent decrease will see this fall by a further £9,500.

Guy Woodham, business manager at the Torch, said the theatre had enjoyed a very successful year, but being nearly 50 per cent reliant on funding from various bodies meant it would now need to take a closer look at its accounts in order to accommodate the cuts.

“As with many arts organisations we need to adjust our income and expenditure to take this cut into account and make sure we’re as financially viable as possible,” he said.

Theatr Mwldan’s money will drop from £272,550 to £266,826 in 2015/16.

Since 2010 Welsh Government funding has reduced by 10 per cent.

In the face of these cuts ACW has sought to protect front line activity by reducing grant in aid investment in other development programmes and the Arts Council’s own administration, making a -14 per cent cut in running costs over three years.

At present, ACW distributes annual grants to 69 organisations including Welsh National Opera, and National Theatre Wales.

But this month it announced a detailed ‘investment review’, and organisations will find out if they will continue to be funded in December 2015.