Plans to create two new national art galleries in Wales could cost up to £127m.

The Welsh Assembly Government, National Museum Wales, the Arts Council of Wales and National Library of Wales commissioned a report to assess the particulars of creating a National Gallery of Art and a National Centre for Contemporary Art in the country.

The report, entitled The future display of visual art in Wales, stated there would be “very considerable cost implications” associated with the two long-term projects.

For the National Gallery, the report recommends the building of a new north wing on the current National Museum site in Cathays Park in Cardiff. The capital cost is estimated to be £85.5m, with additional operational costs of £707k per year.

The National Centre of Contempry Art, which could be built in either Newport or Swansea, is predicted to cost £38.8m, with development costs of £2.5m for the first six years and operational costs of £1.5m per year.

However, the Welsh Assembly, NMW of the Arts Council of Wales do not have the resources to take these projects forward in the short to medium term.