Grassroots Music Venues: UK Government Backs Ticket Levy On Arena & Stadium Shows

Wizkid Performs At Tottenham Hotspur Stadium
The UK business is to come up with a ticket levy on stadium and arena shows, which will directly benefit grassroots music venues – the places where the talent that will
fill the stadiums in the future is coming from. This picture shows Wizkid performing
at Tottenham Hotspur Stadium, July 29, 2023, in London, England. (Photo by Joseph Okpako / WireImage)

The UK government is backing a levy on arena and stadium concert tickets to support the struggling grassroots music sector. The parliament’s Culture, Media and Sport Committee has called for Ministers to set a clear deadline for the industry to act.

Grassroots Music Venues: UK Politicians Call For Arena Ticket Levy & Tax Relief

The Culture, Media and Sport Committee is the body that scrutinizes the work of the government in these fields. It’s the committee that recommended a ticket levy to the last UK government, after consulting with, and gathering evidence from the UK’s live sector.

The committee now welcomed the government’s recognition of the need for a levy, but calls for “clarity on how long the industry has to take action before the government itself steps in,” according to a press release from the CMS Committee.

Initially, this levy will be voluntary, implemented by the stakeholders working in this business at the high-selling level, ie stadiums and arenas. Should it turn out that securing the future of the grassroots sector through a voluntary ticket levy wasn’t enough of an incentive, the UK government will step in and come up with a mandatory solution.

In a letter to the secretary of state, the CMS Committee says, “if no significant progress is made, it will hold a hearing with the sector in six months’ time.”

The letter also expresses concern that long-term reforms set out by the government, such as permanently lower business rates for venues from 2026, will not address the short-term rate of closures and cost of touring. According to the committee, “the government should also look again at its rejection of the recommendation for a fan-led review of music” in order to address blind spots in the government’s policymaking and make sure the fans are represented in policy proposals.

Industry reactions include one from David Martin, CEO, Featured Artists Coalition, who said, “The message coming from the Government and from the Culture Committee is loud and clear: the live music industry needs to deliver a blanket ticket levy at large-scale arena and stadium shows. We need to do it quickly or it will be mandated upon us, and the fund must support the entirety of the grassroots live music sector, from artists and promoters to venues. The FAC welcomes today’s response, and we are ready to double down our efforts to get this over the line. If UK artists can’t afford to tour, the industry will not fulfil its potential.”

Annabella Coldrick, chief executive of the UK’s Music Managers Forum, said, “Everyone knows grassroots live music is in crisis. The current situation is untenable. Every week I hear from music managers trying to do the impossible and bridge catastrophic shortfalls in their artists touring budgets. A ticket levy on all large-scale live music events to support touring artists at this level to get out on the road remains the most practical solution. It is now imperative that we in the industry stand up and deliver it.”

Pollstar will update this news item as more UK industry reactions come in.

Chair of the CMS Committee, Dame Caroline Dinenage MP, commented, “The sheer number of venues in our local communities being forced to shut up shop each week has hammered home the stark reality of the struggles facing artists, promoters and others working in grassroots music. There are warnings of an even gloomier future.
While the Government has dialled up the volume on the message that swift action on a levy is needed from the bigger players who pack out arenas and stadiums, the lack of a firm deadline for movement risks allowing matters to drift.

“Without healthy roots, the entire live music ecosystem suffers, so it is vital that the wider industry recognises the urgency of coming up with a scheme to direct a proportion of profits back to where many careers began. The Committee will keep banging the drum to make sure both the industry and Government plays it part in protecting our live performance ecosystem.”

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