Photo by Modesta Žemgulytė on Unsplash
The UK Government has instructed the live music industry to initiate a voluntary levy on all stadium and arena tickets in the coming year to help support grassroots venues.
Culture Minister Sir Chris Bryant issued a statement signalling the Government’s agreement with the Culture, Media and Sport (CMS) Committee’s recommendation that a voluntary levy should be imposed.
Ministers have made clear that they want to see a voluntary levy come into effect as soon as possible for concerts in 2025.
Bryant said that the addition of an industry-led levy within the price of a ticket would be the quickest and most effective way for a small portion of revenues from the biggest shows to be invested in a sustainable grassroots sector. Promoters, venues and ticket vendors should give clear communication to fans on the purpose of the levy and the benefits it will bring to the grassroots sector, Bryant added.
The sector has already taken steps towards this with the LIVE trade group establishing the LIVE Trust to allocate funds.
“It is crucial that we work together to support the grassroots including venues, festivals, artists and promoters,” Bryant said. “That is why I am urging the industry voluntarily to introduce a ticket levy on the biggest commercial players, to help ensure the health and future success of our entire live music industry for decades to come.”
Committee concerned over timeline
The CMS Committee’s report from earlier this year found that the number of grassroots music venues declined from 960 to 835 last year, a net decrease of 13%. This also represented a loss of up to 30,000 shows and 4,000 jobs, according to the report.
While the CMS Committee welcomed the Government accepting its proposals, it has called for clarity on how long the industry has to take action before the Government itself steps in. In a letter to the Secretary of State on the Government’s response, the Committee says if no significant progress is made, it will hold a hearing with the sector in six months’ time.
Chair of the CMS Committee, Dame Caroline Dinenage MP, said: “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.”
Industry welcomes Government support
The Government announcement was welcomed by the Music Venue Trust (MVT), which has been campaigning for the introduction of a £1 levy on stadium and major arena tickets for some years.
Mark Davyd, MVT’s chief executive and founder, said: “Music Venue Trust warmly welcomes this positive response from the Government. We strongly support their stance on the necessity and desirability of a grassroots contribution and believe this response sets out a clear and achievable path for the live music industry to swiftly adopt such a contribution.”
LIVE chief executive Jon Collins welcomed the Government’s decision that the sector should play a part in addressing the “crisis in grassroots music”.
He added: “Driving forward an industry-led solution to the challenges currently being experienced by venues, artists, festivals and promoters remains our No.1 priority. Alongside Government’s work to deliver an improved trading environment, we are accelerating our work on the development of the LIVE Trust and associated funding to help distribute money to the places it’s needed most.”
The Featured Artists Coalition (FAC), which represents UK music artists, issued a warning that action must be taken quickly.
David Martin, the group’s chief executive, 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.”
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