Major art museum was free to all - now it will cost $20

The Museum of Contemporary Art has been free to the public for decades, but a funding crisis has forced it to start charging $20 entry fees.

The museum in Sydney holds the only public collection in Australia dedicated to the work of living artists, and attracts about a million visitors each year.

The MCA's striking Art Deco-style building located on Sydney's Habour's foreshore at The Rocks is a popular attraction and one of the drawcards during the annual Vivid festival.

"We are disappointed to have to introduce a general admission charge however we want to ensure MCA Australia remains a world-class contemporary art museum - one that Sydney deserves," said MCA chair Lorraine Tarabay.

A general admission charge would help the museum remain financially sustainable, Ms Tarabay said.

She noted government-owned museums were funded to support free access, but the MCA, run by an independent not-for-profit organisation, received a fraction of the money given to other institutions.

"We are grateful to the government for their continued support, however significant cost escalation combined with stagnant funding has necessitated this move," Ms Tarabay said.

MCA Australia will introduce the charge from the end of January and says it wants to maintain free entry for those under 18 and Australian students.

Ongoing government funding of $4.36 million paid for 14 per cent of the museum's operating costs, the same level as 2008, it said in a statement.

The MCA raises more than 85 per cent of its annual revenue through donations and commercial activities.

It has already implemented cost-saving measures such as closing one day a week.

More than a third of the MCA's collection of over 4700 artworks are by Aboriginal and Torres Strait Islander artists.

It has also helped to launch the careers of artists such as Lindy Lee and Tracey Moffatt.