Arts Council England (ACE) has revealed the measures it will be forced to take in order to implement the £19m cuts imposed on its budget by the coalition government.

The £19m chop in spending is in addition to an earlier in-year reduction of £4m, announced in the April 2009 Budget, meaning that the Arts Council's original 2010-11 budget has been reduced by a total of £23m - from £468m to £445m.

The organisation said it will "sought to protect and develop art, and those that enable it to happen, to the fullest extent possible".

In a statement, ACE announced that to alleviate the blow, it has withdrawn £9m of the Arts Council's historic reserves, access to which was previously blocked by government.

The emergency funding means that the cut to regularly funded organisations' income from Arts Council during 2010-11 will be limited to 0.5 per cent.

The £19m funding gap will be filled as follows - £9m from the Arts Council's historic reserves; £6m from savings due to the postponement of a major public engagement project, cuts to audience development plans, and to funds for partnership working with local authorities and the private sector; £1.8m from revenue grants to regularly funded organisations; £1.8m from the revenue grants of the two highest funded organisations not directly producing art (£1.6 million from Creativity Culture and Education and £0.2 million from Arts & Business - a 4 per cent reduction); and £0.4m from further cuts to the Arts Council's operating costs.

The reduction to regularly funded organisations' grants will be taken from the final payment of the year in order to give them the maximum time to adjust their financial plans.

Dame Liz Forgan, chair of ACE, said: "In-year cuts are always the most difficult to manage, because plans have already been made against an expected level of income.

"We have done our best to minimise the effect on our funded organisations and the art they produce so brilliantly. Some immediate impact was inevitable, and in the longer term the arts sector will also feel the effect of the cutting back of projects that are key to its long term sustainability and development."

ACE's budget for the next three years (2011-14) will be decided in the government's Spending Review, for which results are expected in the autumn.