Mr Alexander: Funding gap

The money has been mostly welcomed by the arts community, although some critics warn that many venues in Wales are run down and need further investment.

Describing the money as part of a "three-pronged approach" to funding, Arts Council Chief Executive Peter Tyndal said it formed "a solid base for the future well-being of the arts in Wales."

"We are committed to ensuring that quality becomes a recognised cornerstone of the arts in this country once again," said Mr Tyndal.

Mr Tyndal also highlighted the "redressing of historical anomalies" as a key measure for the future, while also targetting increased funds for community art, the Youth Arts Fund and dance.

Repairs needed

The investment has been welcomed by the arts community, but the need for further work is also being stressed.

"This is good news but it has to be seen in context," said Janek Alexander, director of Chapter Arts Centre in Cardiff.

"Researchers commissioned by the Arts Council have identified a funding gap of almost �50m in repairs and needed improvements at venues across Wales."

"Fifteen per cent is a start, but it will need concerted effort across the board to put right the under investment of the past 10 years," he continued.

Announcing the investment, Jenny Randerson, Minister for Culture also said the money was a "substantial step forward in securing the arts in Wales and building for the future."