'Constructive discussion' needed with Scottish Government over funding
The Scottish Chamber Orchestra has issued a warning over its sustainability, after posting an increased deficit for the past financial year.
A "constructive discussion" with the Scottish Government over core funding is needed if the SCI is to continue as a sustainable business model, the organisation's board said.
In accounts filed with Companies House, trustees of the SCO heralded a “year of exceptional artistic achievement, growing social impact and significant strategic progress”, but posted a deficit of £100,022 for the 12 months to the end of March 2026, higher than the deficit the previous year of £97,376.
The board said budgeting and expenditure at the SCO are “tightly controlled” and planning systems are “constantly reviewed” to mitigate for increasingly tighter financial margins amid rising costs and a “difficult public funding environment”.
Funding for the NPCs has broadly remained flat since 2009, despite soaring inflation over the period.
The SCO said its Scottish government core grant, in line with the other NPCs, had received a 4.1 per cent uplift in 2025-2026, with an additional £144,800 “welcome grant” to support international touring activity. However, the grant for the coming year is set to remain flat at £2,136,700. Meanwhile, its strategic partner funding from City of Edinburgh Council was extended by a further year, but also remained flat at £50k a year.
The board of the SCO said in a statement: “We look forward to constructive discussion on how to restore and increase the value of the core grant going forward as we seek to ensure a sustainable business model and develop our reach and impact throughout Scotland and internationally.”
It added: “As financial margins continue to tighten, there is an increased risk from any unavoidable changes in planning or unexpected box-office returns.”
The orchestra said it had received “generous support” from individuals, trusts, foundations, corporate partners and public funders, adding that it had received annual donations of over £5,000 from individuals.
It added: “Fundraising performance was particularly strong during the year, with individual giving exceeding target and the New Music fundraising appeal raising £84,476 to support future commissioning and performance of new work.”
Gavin Reid, chief executive of the Scottish Chamber Orchestra said some talks had taken place since the end of the financial year.
He said: “The SCO is enjoying a period of sustained artistic success on and off the concert platform. At the same time we are having positive and constructive discussions with the Scottish Government regarding our long term sustainability.”
The accounts showed that money generated from day to day activities including orchestral projects, radio and tv broadcasts, and learning and participation activities, stood at £16,765 over the period, back into the black from a deficit of £84,095 a year earlier.
However, planned expenditure on digital projects and European touring created an increased deficit of £196,682, while there was also a deficit in restricted funds of £13,160 compared to a surplus of £50,908 in 2025, which resulted from net expenditure on international touring, and SCO Chorus a capella concerts.
A Scottish Government spokesperson said: “We have provided an uplift of £1 million in funding across our five National Performing Companies in 2025-26 and they received an additional £700,000 in 2024-25. This investment takes their core funding to the highest level since 2011-12.
“We will continue to support the internationally acclaimed work of our National Performing Companies in 2026-27 with a view to providing them with additional funding in future financial years as part of the commitment to delivering £100 million for culture.”