Arts Council spokeswoman Aileen Muir said the funding had been under review for some time.
“Arts Council England, East, has been working with Norwich School of Art & Design to review our partnership and refresh our priorities," she said in a statement.
"Together with other stakeholders in the city, we have been exploring a range of ideas for delivering high quality visual arts to audiences in Norwich, building on the legacy of Norwich Gallery and taking into account all stakeholders capacity and resources.”
“Contemporary Art Norwich is one facet of this step-change, which we supported directly this year. This international and culturally diverse visual arts event aims to attract support and investment to run on a biennial basis."
"It is an initiative of Arts Council England, East in partnership with Norwich City Council and Norwich School of Art and Design that has the potential to create a city transformed by art, putting Norwich firmly on the cultural visitor map and promoting the East region as the centre for talent and innovation.”
It’s thought that the gallery, which is part of Norwich School of Arts & Design, will continue to host the School's annual graduate show and will be available for hire.
At the time of writing, no-one was available for comment at the Norwich School. A decision on the future of the gallery is expected later this year.
