In the historic gold rush city of Ballarat, a different kind of prosperity is taking shape. Since receiving UNESCO Creative City of Craft and Folk Arts designation in 2019, the city has transformed its creative sector into a powerful economic engine — contributing $658.4 million to the local economy in 2022/23, according to Creative Ballarat’s 2023/24 Report Card.
As Australia’s only UNESCO Creative City of Craft and Folk Arts, Ballarat has joined a global network of 350 cities across 116 countries that have identified creativity as a strategic factor for sustainable urban development. This prestigious designation, part of UNESCO’s broader mission to promote cultural diversity and sustainable urban development worldwide, has created a framework to embed creativity and cultural industries at the core of the city’s growth strategy.
The UNESCO Creative Cities Network (UCCN) was created in 2004 to promote cooperation among cities that have recognised creativity and culture as a strategic factor for development. Member cities work together toward placing creativity and cultural industries at the heart of their local development plans while actively cooperating internationally. For Ballarat, this global connection has opened doors to knowledge exchange, international partnerships, and enhanced visibility on the world stage.
The numbers tell a compelling story, the number of creative practitioners across the Local Government Area has increased 2.5-fold since 2018, putting the city halfway toward its ambitious 2030 goal of quintupling its creative workforce.
City of Ballarat Mayor, Cr Tracey Hargreaves, commented, “The remarkable growth we’ve seen in our arts and cultural industries demonstrates how cultural heritage can drive economic prosperity. With over 2,500 people now employed in creative sectors across our region, we’re witnessing firsthand how investing in our unique cultural identity generates both economic opportunities and strengthens community wellbeing. Our UNESCO designation has enabled us to showcase Ballarat’s creativity on a global stage while supporting local practitioners to develop sustainable careers right here in regional Victoria.”
Ballarat’s creative transformation offers valuable lessons for other regional centres looking to diversify their economies. By investing in the professional development of local artisans and providing platforms to showcase work, the city has created a virtuous cycle. Arts and culture deliver health and wellbeing outcomes and articulate the values and stories of a community. This creativity also supports an engaged community which drives cultural tourism, which in turn supports more arts and cultural businesses.
With 86% of Ballarat’s total workforce concentrated in small business (organisations who employ between 1 and 4 employees) and sole proprietors, investment in the arts and cultural industries provides a solid proportion of this workforce with increased viability.
Cultural tourism spending has surged, with domestic overnight visitors spending $140 million on arts, heritage, and cultural activities in 2023/24 – a remarkable 52% increase from $92 million in 2021/22. Cultural tourism visitor nights have increased 1.5 times from 380,000 to 559,000, demonstrating the significant economic impact of the cultural industries on the region.
The additional benefits include the growth of related cultural service suppliers such as small-scale manufacturing in furniture, footwear and 3D printing, and the export of bespoke artisanal goods.
Commerce Ballarat CEO, Jodie Gillett says, “The economic ripple effects from Ballarat’s arts and cultural industries have been substantial for our broader business community. We’re seeing increased foot traffic, longer visitor stays, and stronger spending patterns across retail, hospitality, and accommodation sectors. The UNESCO designation has effectively diversified our economic base — building community resilience.”
Craft Lab is a flagship program of Ballarat’s creative sector development. Now entering its fifth year, this comprehensive program identifies talented makers, artisans, and artists who work with traditional skills while developing contemporary applications of their craft.
Through a competitive selection process, 18 master practitioners are identified annually, receiving intensive career advice, portfolio reviews, professional photography, and brokerage support. These artisans showcase their work at the historic Mining Exchange during the award-winning Ballarat Heritage Festival. Attendance has grown each year, with more than 6,000 visitors attending over just four days in 2024 – transforming the event into a major driver of cultural tourism.
Nicole Durling, Executive Director of Craft Victoria, says, “Craft Lab exemplifies how regional communities can leverage artisanal skills to create economic opportunity. What we’re seeing in Ballarat demonstrates the powerful intersection of cultural heritage and contemporary market development. These practitioners aren’t just preserving traditions—they’re innovating and creating sustainable businesses that contribute significantly to the region’s identity and economy. When communities invest in their makers, they’re investing in a distinctive cultural economy that can’t be replicated elsewhere.”
Ballarat’s approach represents a new paradigm in regional development, where cultural heritage represented by craft becomes a driver of economic growth. Heritage Services have grown by a significant 25% between 2017/18 and 2022/23, while Professional Scientific and Technical Services (including graphic designers, jewellers, and architects) have reached $504.55 million in local sales with steady 10% year on year growth.
The 2025 edition of Craft Lab, taking place across two weekends in May (17-18 and 24-25) will showcase an unprecedented breadth of craftsmanship, featuring practitioners working across ceramics, textiles, jewellery making, millinery, furniture design, glass art, and more.
The Craft Lab program operates in collaboration with key industry partners, including Craft Victoria and the Centre for Rare Arts and Forgotten Trades, creating valuable connections that extend beyond city limits.
As a UNESCO Creative City, Ballarat has successfully positioned itself as a leader in how regional areas can honour their cultural heritage while building future prosperity. With a strong foundation of creative and technical expertise, Ballarat demonstrates how traditional craftsmanship and contemporary innovation can work together to create a sustainable and distinctive local economy.
