The cancellation of Wireless Festival in north London this summer could result in an estimated £30 million hit to the economy.
The festival, due to be held in Finsbury Park, was called off on Tuesday when the Home Office confirmed headliner Kanye West would be blocked from entering Britain over antisemitic comments and songs.
The American rapper, known as Ye, was due to top the bill for all three days of the event from July 10 to 12 with concert goers paying between £140 and £360 each for tickets.
The urban music festival draws crowds of up to 50,000 people per day but the Government revoked West’s visa because of previous behaviour, which has included releasing a song called “Heil Hitler” and advertising T-shirt featuring a swastika on his website.
West apologised for his antisemitism earlier this year, blaming it on manic episodes caused by his bipolar disorder.
A spokesman for Wireless promoter, Festival Republic, said: “As a result of the Home Office denying YE entry into the United Kingdom, Wireless Festival is cancelled.
“All ticket holders will receive an automatic full refund.”
An Economic Impact Assessment commissioned by Festival Republic after Wireless 2022 held in Crystal Palace Park, found the festival had contributed £37 million of economic activity, of which £28 million benefited the UK economy.
This included almost £5 million of additional income for local businesses that would not otherwise have happened, almost half of which was spent in hotels and B&B in the area.
Festival Republic said it spent £10.7 million on suppliers, contractors, artists and staff payroll in production of the event, employing some 2,400 people for an average of 40 hours each.
More than a third of staff lived in one of the boroughs surrounding the festival.
In 2023, Haringey council signed a five-year deal with Festival Republic to hold Wireless in Finsbury Park, claiming it would raise "significant income" for the local economy.
The Friends of Finsbury Park group at the time accused the local authority of striking a deal "about money, not culture"
Events bring in about £1.2 million per year for funding maintenance and improvements in Finsbury Park, the town hall said.
As part of its deal with Haringey council, Festival Republic is allowed to hold a second weekend of major events in the park each year.
This year Biffy Clyro, Kasabian and Wolf Alice will headline concerts in the park in early July as part of the contract.
Ahead of the Wireless cancellation, West had sought to defend his planned headlining of the music festival, saying he wanted to bring “unity, peace and love” to London.
The musician has drawn widespread criticism in recent years after he voiced admiration for Adolf Hitler and made a series of antisemitic remarks, for which he issued an apology in January.
Prime Minister Sir Keir Starmer hit out at the music festival for allowing West to headline, saying it was “deeply concerning” that the musician has been booked, while sponsors, including Pepsi, withdrew support.
Melvin Benn, managing director at Festival Republic described himself as a "deeply committed anti-fascist" and "person of forgiveness".
Mr Benn condemned West’s “abhorrent” remarks about Jewish people and Hitler, but asked people to “offer some forgiveness and hope” to the rapper.
He added: "We are not giving him a platform to extol opinion of whatever nature, only to perform the songs that are currently played on the radio stations in our country and the streaming platforms in our country and listened to and enjoyed by millions.”
But the Campaign Against Antisemitism said there was a “clear case” to ban West from entering the UK.
