Lack of private and corporate sponsorship has resulted in the planned closure of the Bermuda National Gallery’s satellite location in St George’s.

BNG East opened its doors in the summer of last year and has since hosted three exhibitions — a photography show by local artist James Cooper, A Sense of Place by William Collieson and a Biennial.

The gallery, housed in a Bermuda National Trust property on Bridge Street, will close on December 6.

Furthermore, the BNG’s main gallery in City Hall will begin to charge for admission after decades of free entry, and membership rates have increased.

In 2013, the gallery’s revenues dropped by 5.1 per cent compared to a 3.5 per cent drop on the previous year.

While corporate funding increased approximately 24 per cent, largely driven by a major Bacardi Biennial exhibition, the corporate funding trend is down 10 per cent over the past three years and more than 50 per cent over the past five years.

Revenue from individuals, meantime, declined by approximately 7.5 per cent. According to the Treasurer’s Report the gallery concluded the year ending March 31, 2013 with a net loss of $21,028 before depreciation and other charges.

“The loss is generally a consequence of being unable to secure budgeted funding for our free admission policy, our educational programming and reduced corporate support for exhibitions,” it stated.

BNG East was subsidised entirely by a donor, while the main gallery receives support from government amounting to 10 per cent of the budget.

“Given our present and projected revenues, the Trustees of the Bermuda National Gallery fully support the decision to close the BNG East at this time,” Gary Phillips, the BNG chairman, said. “This decision is a return to the BNG’s core value of sustainability. Sustaining the BNG East in this economic climate is risky at this time.”

BNG Director Lisa Howie added: “The motivation to open BNG East was to create a contemporary space to work with and to lend our support to the rejuvenation of the historic World Heritage Site that is the old town of St George’s.

“Visitor experiences have been very positive and, as a team, we have a stronger appreciation for the challenges that face the micro-economy of St. George’s. As the Bermuda Tourism Authority now makes strides to galvanise the various cultural resources that are active in the East End, we certainly hope that the BNG can return to the East at a different time.”

Meanwhile, the BNG has launched the 2014 Annual Appeal with a goal of raising $45,000.

The gallery will begin charging $5 for entry for non-members as of January while membership has been increased for the first time in several years. Individual rates are now $50 a year compared to $35 previously. However, student and senior rates will remain at $10.

The BNG East will be open late on Friday, December 5 as part of the Bermuda National Trust Walkabout, but will close for the last time at 4pm the following day.