The government is increasing its funding of the arts sector by allocating an additional £50m to Arts Council England between now and 2011.

The amount provided will rise in real-terms by 1.1 per cent year-on-year, which is the equivalent of 12 per cent in cash terms across the whole three-year period.

Grant aid to national museums and galleries in England will also increase from £302m this year to £332m in 2010-–11, keeping it just above the level of inflation.

Culture secretary James Purnell said: “The spending review settlement is an excellent deal for arts, museums and galleries in this country.

“Our arts and culture matter. They are a key part of the life and identity of our country. This country can hold its own on the international stage, producing brilliant, world-class and groundbreaking work. This year’s settlement will help ensure our arts sector – one of the nation’s greatest success stories – can go on to achieve even more.”

The new arrangement will guarantee free admission for all to England’s national museums and galleries for a further three years.

It will also provide extra funding for special projects, such as the new Museum of Liverpool (£1.4m), the Natural History Museum’s new Darwin Centre (£1.9m), the Victoria and Albert Museum’s new Sackler Centre for Arts Education (£2.19m) and the Museum of London’s merger with the Museum in Docklands (£930,000).