While it may seem like the UK live music sector has recovered from Covid, grassroots venues are still seriously struggling. How could a ticketing levy help?

The UK’s grassroots music scene is facing tough times, and now, major artists and music unions are calling on the government to step in with a ticket levy to help. The Featured Artists Coalition (FAC) and Musicians’ Union (MU) recently published a letter asking the UK government to consider a £1 levy on arena and stadium concert tickets, which would directly fund grassroots venues, promoters, and artists.

Why do we need a ticketing levy?

Concerts and live music events at large venues like stadiums and arenas have bounced back strongly since the pandemic, but smaller, local venues are still struggling. According to David Martin, CEO of FAC, “any solution to the ‘cost of touring crisis’ facing UK grassroots music must involve the direct funding of artists.” The goal of the proposed levy is to provide reliable funding, supporting the long-term future of these venues that play a critical role in artists’ early careers.

A government report this year recommended that the live music industry establish this levy by September; if not, the government should implement it themselves. With only a few high-profile artists, such as Coldplay and Sam Fender, currently contributing voluntarily, a formal levy could ensure steady support across the board.

How might a levy be managed?

The FAC and MU insist that funds from the levy should benefit not only venues but also the artists and promoters who work within grassroots spaces. The Music Venue Trust, a charity focused on protecting independent venues, agrees with this, highlighting how a formal system could support artists beyond one-off donations. With the support of a centralised fund, more venues and artists could sustain their work without financial instability.

Kelly Wood, MU’s Head of Live, emphasises the broader impact: “If artists can’t rely upon a healthy and financially viable grassroots live sector, the industry as a whole suffers.” Without adequate support, talented artists could leave the industry, disrupting the entire music ecosystem and future talent pipeline. After all, the artists selling out stadium tours started off as local artists at the grassroots level.

How does the industry feel about this?

The idea of a mandatory levy has sparked debate within the live music industry. While many support it in principle, opinions differ on how it should be applied. Some argue for a voluntary system, leaving it up to each artist whether to add the levy to their ticket prices, as it essentially is currently. Others believe it should automatically apply to all large events to ensure consistent support for grassroots venues.

Although there isn’t unanimous support in the industry for a ticketing levy, the FAC and MU are pushing for government intervention. The FAC and MU’s recent open letter calls on the government to maintain the option for statutory intervention if the live industry doesn’t act. With a statutory levy, funds would be more reliably collected and distributed, offering much-needed stability for venues and emerging artists.