The UK government has announced its backing for a voluntary levy on arena and stadium ticket sales, aimed at supporting grassroots music venues and preserving the country’s live music scene. If the scheme fails to deliver sufficient funding, the levy could become mandatory.
The initiative would see a small percentage of ticket revenue from major events redirected to grassroots venues, artists, and promoters. These spaces are widely regarded as essential for nurturing emerging talent and driving local economic growth.
Describing grassroots venues as “the foundation of the UK’s live music culture,” the government stressed their importance. The scheme will be reviewed after 12 months to assess its effectiveness.
The Government has responded to our report on grassroots music venues.
We will keep banging the drum to ensure the industry and Government protect our live music ecosystem.
Read the response https://t.co/rkcsJP1maS
Our Chair @cj_dinenage gives her thoughts pic.twitter.com/8I6eeAB4K6
— Culture, Media and Sport Committee (@CommonsCMS) November 14, 2024
Efforts to implement the levy are being spearheaded by the industry group LIVE (Live Music Industry Venues & Entertainment), which is working on creating a charitable organisation to oversee the collection and distribution of funds. High-profile artists like Coldplay and Sam Fender have already committed portions of their tour earnings to support the sector.
This comes at a precarious time for grassroots venues, with 125 closures recorded last year alone, leaving many regions at risk of becoming “cultural deserts.” The government argues that contributions from the larger players in the music industry could help halt this decline. Although the levy remains voluntary for now, the government has signalled it may take further steps if necessary. International examples, such as France’s statutory levy on ticket sales, are being considered as potential models.
Responses from those operating in the industry have been overwhelmingly positive. Kelly Wood, Head of Live at the Musician’s Union said: “”The MU is pleased to see the government’s response to the Grassroots Music Venues Inquiry, and the concern around the crisis facing artists in the grassroots live sector. A blanket ticket levy on arena-level shows would create essential funding for artists, venues and promoters, allowing the sector to thrive without the challenges that are currently disrupting tours.”
For struggling venues, immediate challenges persist. While the Autumn Budget promises long-term reforms, it fails to address the urgent financial pressures many face. Industry figures warn that some venues may not survive long enough to benefit from these future measures.
The struggles extend beyond venues, with 60 UK festivals cancelled this year due to rising and unpredictable costs. Meanwhile, 480 nightclubs have closed since June 2020, a problem exacerbated by the pandemic but rooted in long-standing industry issues.
Despite these challenges, the government remains optimistic about the levy’s potential. It has also floated the idea of greater fan involvement in shaping the live music sector, although a proposed fan-led review will not go ahead. Instead, the government has indicated it will seek input on specific issues, such as secondary ticket markets and pricing transparency.
Light at the end of the tunnel for Grassroots Music Venues. People who say it can’t be done should get out of the way of people doing it.
Read our statement in full: https://t.co/eqY1blNXBy
More resources on this via: https://t.co/Q2lGy05wwp pic.twitter.com/TauMAkq9cm
— Music Venue Trust (@musicvenuetrust) November 14, 2024
The survival of the live music ecosystem, the government has said, will require collaboration across the industry. Larger commercial players are being urged to step up, with the levy seen as an opportunity to strengthen the pipeline of emerging talent, and crucially, allow them to progress through the ranks. Responding to the government’s statement via X (formerly Twitter), the Fair Ticketing Alliance said: “It is really easy if the will is there. Several of our members were the first businesses to ever give back to the industry back in 2020 with a £1 donation from every sale going straight to the Music Venue Trust.”
You know it is really easy if the will is there. Several of our members were the first businesses to ever give back to the industry back in 2020 with a £1 donation from every sale going straight to @musicvenuetrust. That is what we call @FairTicketing and was our concept, we…
— Fair Ticketing Alliance (@FairTicketing) November 14, 2024
As grassroots venues face increasing closures, the need for a sustainable funding model has never been more urgent. Without intervention, the UK risks losing not only its cultural heritage but also the economic benefits that grassroots venues bring to local communities.
