Report Calls for Action as Music Venues in UK Closing at Alarming Rate

Artists and music venues across the United Kingdom are facing a severe "cost-of-touring crisis" that is causing venues to close at a rate of two per week, according to a recent report from the Commons Culture, Media and Sport Committee.

The report suggests that the Government should conduct a comprehensive review of live and electronic music by the summer to assess the long-term challenges facing the live music ecosystem.

Dame Caroline Dinenage, chairwoman of the committee, emphasized the importance of taking action to save grassroots music venues and protect the live music ecosystem. "To stem the overwhelming, ongoing tide of closures, we urgently need a levy on arena and stadium concert tickets to fund financial support for the sector, alongside a VAT cut to help get more shows into venues," she said. 

"If the grassroots, where musicians, technicians, tour managers, and promoters hone their craft, are allowed to wither and die, the UK’s position as a music powerhouse faces a bleak future."

Mark Davyd, chief executive and founder of the Music Venues Trust (MVT), expressed appreciation for the recommendations and the positive change they could bring to the sector. "It has taken much longer than any of us would have liked to get the positive change we all wanted to see, but we could not have achieved this fantastic outcome without your continued support for your local live music venue," he said.

Jon Collins, chief executive of Live, also welcomed the report's findings, noting its thorough understanding of the challenges faced by venues, promoters, and artists at the grassroots level. "It's clear that the committee has recognized the many challenges faced by venues, promoters, events, and artists at the grassroots level, and the steps required to address them," he said.

Temporary VAT cut and voluntary levy on concert tickets among suggestions

The report recommends a temporary cut in VAT based on venue capacity to boost grassroots music activity and help venues survive the current crisis.

The committee proposes a voluntary levy on arena and stadium concert tickets to create a support fund for venues, artists, and promoters. This levy should not be passed on to music fans. If the voluntary levy is not in place by September or fails to generate enough income, the Government should consider introducing a statutory levy.

The committee's report calls for immediate action to address the crisis facing grassroots music venues. By implementing a VAT cut and a voluntary levy on arena tickets, the sector could receive the financial support it desperately needs. 

Industry leaders have stated they are ready to work with the Government to review VAT and address the long-term challenges facing the live music scene in the UK.