The Advisory Council of the Abbey Theatre today approved measures which will allow for radical change in the way the theatre is run.
The Minister for Arts John O'Donoghue
The 22-member committee met today to debate proposals from the Arts Council, the Minister for Arts and the Abbey's Board to reform the structure and governance of the theatre.
The resolutions the committee passed will allow for the dissolution of the current company, the National Theatre Society, and its replacement by a new limited company without shareholders. The move follows the financial crisis at the theatre, which sustained losses of €1.85 million last year.
The National Theatre Society has run the Abbey since its foundation in 1904, and the theatre has been the focal point for many leading Irish actors and playwrights, staging plays by writers such as John Synge, Sean O'Casey and Brian Friel.
But a report last month by accountants KPMG found serious accounting problems at the theatre, and recommended changes to the way the Abbey's board was chosen.
The Arts Council threatened to cut off funding if the changes were not approved by the National Theatre Society's shareholding body - the Advisory Council.
With the decision to support the changes, the council effectively voted itself out of existence, although a statement from the Abbey Theatre today said existing members could become Honorary Associates and be invited at least once a year to discuss artistic plans with the theatre's director.
The running of the theatre will be handed over to the Board of the new company, which has been renamed the Abbey Theatre or Amharclann na Mainistreach. The new board, of nine directors and a chairman, will be chosen to ensure a mix of skills, from theatrical knowledge to business acumen.
The chair and two directors will be chosen by the Minister for Arts, five by a selection committee and one will be a staff nominee. The Advisory Council unanimously recommended that the Minister and the Arts Council gave further consideration to the make-up of the board to ensure both writers and actors were sill represented on the new team.
Minister for Arts John O'Donughue
Minister for the Arts, John O'Donoghue, welcomed the decision by the committee which he said showed selfless commitment to the welfare of the Abbey and Irish theatre.
"The new arrangements will allow the Abbey to go forward with confidence, to take its place at the forefront of Irish Theatre, and to redefine the place that a National Theatre can play in the cultural life of a nation," he said.
"Furthermore, it will underpin the future viability of the Theatre, and facilitate ongoing and enhanced public support of this vital cultural institution. I will also reflect on the considered opinion from today's meeting regarding the composition of the future Abbey Board."
He paid tribute to the board, staff and actors of the Abbey who he said had persevered at the theatre through difficult and uncertain times.
Chairman of the board Eithne Healy also welcomed what she described as a truly historic day for the theatre. "Last year, we celebrated the theatre's great history," she said. "It is now time to toast the Abbey Theatre's future as Ireland's national theatre."
Chairwoman of the Arts Council Olive Braiden said that in light of the theatre's recent financial difficulties today's move was was a significant step for the board and Advisory Council.
"Following this significant change today, the Arts Council is committed to working with the new Board to ensure the stability and confidence of the theatre into the future.
"We will discuss the theatre's ongoing change programme at our September Council meeting. "We want the Abbey Theatre, as one of the country's main national cultural institutions, to reaffirm its primary purpose of providing the highest quality theatre," she said.