It follows a number of high profile scandals at the arts body.
Announcing the review in his Programme for Government, John Swinney also told MSPs that funding had been cleared to allow Creative Scotland to re-open their closed Open Fund for individuals.
The key funding stream for artists, writers, producers and other creative practitioners in Scotland was closed at the end of August, with Chief Executive, Iain Munro saying there was a lack of certainty over the cash.
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Earlier this year, there were questions over Creative Scotland’s decision to fund Rein, a show which involved non-simulated sex.
After the public furore over the show, the arts funding body clawed back the money and claimed there had been a “significant change” to the project from the application.
However, Creative Scotland was told that Rein would involve a “sex scene with genital contact” before they awarded the show more than £86,000 of taxpayers’ cash.
Over the weekend, it also emerged that a Creative Scotland employee tasked with helping authors – Dr Alice Tarbuck – tried to prevent a bookshop from stocking a book by poet Jenny Lindsay, because of her gender critical views.
Full details of the process will be set out to parliament in the near future, and will “include seeking views from individuals and organisations from all parts of Scotland’s culture sector”.
Angus Robertson, the Cabinet Secretary for Culture, said: “Scotland’s culture is world-renowned and it remains integral to our nation and our economy.
“Over the past 14 years, Creative Scotland has had a significant role in supporting that role, distributing £65 million of public funding in the last year alone.
“With the sector having faced a number of new and enduring challenges since then, the time is now right for us to ensure Creative Scotland’s remit and functions remain relevant, in line with our commitments to invest at least £100 million more annually in the arts and culture by 2028-29, and to continuous improvement across all our public bodies.
“It is routine for public bodies to undergo reviews throughout their lifetime, and while that process is ongoing we are clear that we expect the organisations involved to take forward their business as usual.
“Creative Scotland is no different and they will be carrying on with their important work throughout.
“In the meantime I’m pleased to confirm release of £1.8 million to Creative Scotland for youth music, and another £6.6 million, which includes £3 million towards its Open Fund and £1 million for Screen Scotland.”
The cut to Creative Scotland’s budget was first announced in December 2022 when the Scottish Government set out their draft budget for 2023/24.
But in February the following, following a campaign from the sector and the public, Mr Swinney, who was then finance secretary John Swinney restored the funding, saying arts and culture were important to the “wellbeing of our society”.
However, just seven months later the Scottish government U-turned, though the then first minister Humza Yousaf promised the 10% reduction in funding would be provided as part of the 2024/25 budget.
He later pledged an additional £100m for the arts sector by 2028 in October last year, which would include the £6.6m.
Creative Scotland had planned to use about £3m of that alongside £3m of National Lottery income to pay for successful applications to the Open Fund.
But the decision was taken to close the fund as there was no sign of the money. The government said they were completing due diligence before releasing the funding
Following the statement in parliament, Mr Munro said: “Creative Scotland notes the intention to review the way the sector is supported, as announced by the First Minister in the Programme for Government, and we look forward to hearing more details.
“We welcome the continued commitment to provide an additional £100m in funding for Culture and will work with the Scottish Government on the effective allocation of that funding, to the benefit of culture and creativity in Scotland.
“We also welcome today’s confirmation of £6.6m, originally committed to Creative Scotland by the Scottish Government at the start of this financial year, reinstating budget removed in the previous year.
“We continue to see unprecedented levels of demand for the Open Fund for Individuals and will process the high volume of applications we have received. With the budget now confirmed, we will work to re-open this fund.
“We are sure today’s confirmation of the release of this funding will be welcomed by the creative community of Scotland.”
