The preparation of the state budget for culture starts at the Ministry of Culture, which prepares a budget proposal, including incomes, expenditures of institutions and support programmes administered by the Ministry. The budget proposal is presented by the Minister of Culture to the Government Cabinet and will, after political negotiations, be presented to the Parliament as a part of the state budget. In the Parliament, the Cultural Committee and represented parties may suggest changes. After approval of the budget, the specified budget for institutions, supporting programmes and investments will be approved by the Minister of Culture. For the administration of the Ministry’s supporting programmes and according to the “arms-length-principle”, the Ministry forms supporting programmes committees, which include Ministry officials and a majority of experts from outside of the Ministry.
Public funds for culture are allocated also in municipal budgets.
The “arms-length principle“ of cultural policy is represented also in the Cultural Endowment, which is the main institution distributing state money for cultural purposes. The Cultural Endowment receives a monthly fixed share of alcohol and tobacco excise duty (3,5%) and gambling tax (47,8%)(whereof 60,6% is allocated to finance cultural buildings of national importance, 35,6% to award grants and support, for administrative expenses). With 3.8% of the gambling tax, the Cultural Endowment supports cultural projects through public universities, where teaching staff can develop their arts’ works.
See also chapter 1.2.2.