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Minister Urges Live Music Industry To Introduce Voluntary Ticket Levy To Protect Grassroots Venues

The UK’s live music industry has been urged by the government to join forces to help safeguard the future of the grassroots music sector.

In the government’s response to the Culture, Media and Sport Select Committee’s report on grassroots music venues, Creative Industries Minister Sir Chris Bryant has called on the live music industry to work together to introduce a voluntary levy on all stadium and arena tickets to help support grassroots venues, festivals, artists and promoters – in agreement with the Committee’s recommendation.

Ministers now expect the sector to take forward proposals for a voluntary levy.

The grassroots music sector is the backbone of the UK’s £6.7 billion music industry, with many of Britain’s best-selling artists, including Ed Sheeran, Adele, Coldplay and Stormzy, starting their careers in grassroots venues. The sector offers emerging artists opportunities to hone their craft, employs more than 28,000 people including stage managers, security and sound and lighting engineers, and supports local economies across the country.

However, in recent years grassroots venues have faced considerable challenges such as the pandemic and inflation, leading to a high number of closures and job losses.

Creative Industries Minister Sir Chris Bryant said:
“Grassroots music venues are one of the UK’s most valuable and yet undervalued cultural assets. They are where bands try out new material, where whole new genres are born, where musicians experiment and where audiences get to experience the raw power of live music. “

“These venues support thousands of jobs and are a vital part of our local communities. Without a flourishing grassroots music industry the rest of our music industry will wither.”

“It is crucial that we work together to support the grassroots including venues, festivals, artists and promoters. 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.”

“It is the government’s view that 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. This would help fans to access local music venues, provide even more performance opportunities for emerging talent and benefit the live music industry as a whole.”

Ministers have made clear that they want to see a voluntary levy come into effect as soon as possible for concerts in 2025, with clear communication to fans on the purpose of the levy and the benefits it will bring to the grassroots sector.

The government will consider the implementation and effectiveness of a voluntary levy before determining whether further action is needed.

Michael Kill, CEO, Night Time Industries Association said:
“The CMS Committee’s report is a vital step in recognizing and addressing the immense pressures on grassroots music venues across the UK. We welcome their support for a levy on arena and stadium tickets, alongside a VAT reduction, as immediate actions to stabilize this critical part of the music ecosystem. Grassroots venues are not just cultural spaces; they are where new talent is nurtured, where creative communities thrive, and where diverse musical genres find a platform. Without targeted intervention, we risk losing the foundation of the UK’s globally renowned music industry.”

“Our industry is facing an existential crisis, with venues closing at an alarming rate due to unsustainable costs and reduced revenues. The proposed levy and VAT reduction would bring much-needed financial relief, giving venues, artists, and promoters the support they need to continue operating. This report highlights that the burden cannot fall solely on grassroots venues; rather, all players in the music ecosystem, including larger arenas and stadiums, must contribute to the solution.”

“However, it is crucial that this approach remains ecosystem-led, considering the broader spectrum of creatives, technicians, and professionals who make up the live music sector. We must ensure these measures benefit not just the venues but also the full range of associated creatives and support roles that underpin the industry. By working together—industry leaders, government, and fans alike—we can create a sustainable future for live music, preserving local venues and fostering a vibrant, diverse music culture across the UK.”

Jon Collins, chief executive, LIVE, said:
“We are glad government has entrusted our sector to play our part in addressing the crisis in grassroots music. Driving forward an industry-led solution to the challenges currently being experienced by venues, artists, festivals and promoters remains our number one 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.”

“Together with government, we will continue our work to help safeguard the future of grassroots music, and ensure our sector remains world-leading, brings joy to millions, and delivers economic growth in towns and cities across the UK. We will regularly update on our progress of the LIVE Trust.

The government’s response follows funding announced for the Creative Industries at the Autumn Budget, which DCMS has confirmed will include help to continue the Supporting Grassroots Music Fund.”