The museum received its main funding from the British government via the Department for Culture, Media and Sport, and admission was free.
On 7 January 2007, after failing to raise £5 million for refurbishment of the premises in Covent Garden, the closure of the museum was confirmed.
Its successful exhibition programme included Diaghilev and the Golden Age of the Ballets Russes[5] (2011), David Bowie Is (2013), Hollywood Costume[6] (2013), You Say You Want a Revolution[7] (2016), and Opera: Passion, Power and Politics[8] (2017).
[9] Over the same period the department continued to make major acquisitions, some supported by the National Lottery and other funders, and these involved outreach and engagement project.
Other major acquisitions focused on the work of individuals such as Vivien Leigh, P J Harvey, June Whitfield, Ronnie Barker and Bronislava Nijinska.
[12] In 2021 the department faced discontinuation under a major V&A restructuring plan brought about by the museum's COVID-related financial deficits.
A campaign and petition to save the department was initiated by SIBMAS (the International Association for Performing Arts Libraries and Museums).