London venues are celebrating “the single most significant shift in more than 50 years” in support of grassroots live music after the Government backed plans for a levy on stadium and arena gigs.
The Government has said an “industry-led” levy included within the price of a ticket would be the quickest and most effective way for revenues from the biggest shows to help the grassroots sector.
London’s smallest venues have been in crisis after being hit hard by the pandemic and rising inflation.
Last year was the worst for venue closures in a decade, according to figures from the grassroots charity Music Venues Trust, with 125 venues forced to close across the country.
But London’s venues believe that the Government backing a levy on large gigs is a vital step forward in protecting the capital’s live music scene.
Paul Michelmore who runs the award-winning folk venue The Harrison in King’s Cross told the Standard a levy is the right thing to do and “the sooner it gets done the better it is for the whole music scene”.
The venue survived “by the skin of its teeth” in September after having to find £99,000 in backdated rent from the pandemic.
He said: “It’s obviously logical. You wouldn’t expect Britain to build airplanes if you shut all the universities where the engineers train.
“If you want Britain to continue producing arena quality artists then you have got to the ‘universities’ where they reach that stage - and that’s us.
“Venues are hanging on with savings, and directors working for free. People are working second jobs…
“It is madness the demand of people going to gigs is there but it’s just impossible to make it economically viable with the way things currently stand.”
The pub landlord called for larger promoters and the companies behind large gigs to step up and help a levy come in as soon as possible.
The Government’s backing has also been celebrated by staff at Rough Trade, who run record stores and gigs in Shoreditch and Ladbroke Grove, as well as in New York and several other British cities.
Sam Allison, head of events at the independent record stores, told the Standard: “By directing funds to the heart of the indie ecosystem and fostering creativity it ensures that emerging talent has a platform to grow, all while making sure these artists have the spaces they need to develop and that live music remains diverse and accessible for everyone."
The news has also been celebrated by Brixton’s cult spot The Windmill - the birthplace of The Last Dinner Party, The Big Moon, Black Country, New Road, Goat Girl, Squid, black midi, and countless others.
The Windmill’s Tim Perry told the Standard a levy would be a great start but that “we should not lose sight of the bigger picture”.
“Companies are getting bigger and bigger with more fingers in more pies and taking over more venues,” he explained. “They put on shows at small venues which are £14 rather than £6 or £7 and that’s pushing prices up. It’s really important that people can try things.”
Mr Perry explained that while more and more people are coming to the Windmill the venue is taking in less money.
He continued: “We’re finding that our ticket numbers are up but our takings are down. Maybe there is a shift in culture about alcohol but also there has been a shift in the amount of rent that people have to pay in London. There’s is no money to be spent on a bigger night out.
“A lot of people go and see music and have a beer or two but the spend behind the bar is really down. You can come to the Windmill four or five nights of the week for the price of one big gig.”
He added: “Music is a big money earner for Britain. I think the public think it’s just people in pubs getting pissed but it can earn the country some serious dosh. It’s always good to have your cultural exports as well.”
The gig booker added that he hopes that the Government may also explore VAT exemptions for grassroots venues, in a similar way to theatre shows and classical music performances.
Elsewhere, The Half Moon in Putney, which has seen the likes of The Rolling Stones, The Who, Elvis Costello, U2, Kate Bush, and Van Morrison perform there, described the measure as “a monumental step forward for our industry”.
Some bands have already taken the step to donate a portion of ticket sales to help fund smaller venues.
Enter Shikari gave £1 of every ticket sold for their 2024 arena tour to the Music Venue Trust charity as a gesture of support for the grassroots live music sector.
Coldplay has also pledged to donate 10 per cent of profits from their upcoming UK stadium tour to support smaller venues.
Sam Fender has also committed to donating a portion of his upcoming tour revenues to support the grassroots sector.
Celebrating the news the Music Venue Trust said in a statement: “The Government response is unequivocal. As of today, it is the official policy of the UK Government that every ticket sold at an arena or stadium should contain a financial contribution that supports grassroots music venues, artists and promoters.
“This represents the single most significant shift in more than fifty years of British music in the basic mechanics of how the live industry financially supports new and emerging talent, the spaces which host it, and the people who take risks to present it.”
The charity added that it is now a question of how and when the grassroots contributions will be felt.
The Government is understood to believe it is for the music sector to ultimately decide how the fee is implemented.
Parliament’s Culture, Media and Sport Committee, which has been drawing up proposals for a levy, has said a “firm deadline” is needed on how long the industry has to take action “before the Government itself steps in”.
