The council had considered cutting all funding, but papers presented to its September executive committee said this would have made the gallery unviable.
Councillor Ellen Nicholson, deputy leader of the council, said: “They really are a valuable resource to have within Woking and they do such good work within our local community.”
The Lightbox received £425,000 in 2022/23, but this will fall to £150,000 in 2025/26, reducing by £25,000 each year.
This year’s £130,000 grant was funded through the UK Shared Prosperity Fund, according to the Local Democracy Reporting Service, external.