Grassroots music venues are crucial to the UK’s music scene, providing emerging artists a platform to develop their talent and engage with audiences directly. However, since early 2023, over 150 of these venues have permanently shut down, representing about 16% of the sector.
Proposed £1 Levy to Support Grassroots Venues
In response to this crisis, a proposed £1 levy on tickets for arena and stadium events with over 5,000 capacity aims to raise up to £25 million annually for struggling venues. A survey of approximately 8,000 music fans revealed that 93% approve of this initiative by the charity Music Venue Trust. The Department for Culture, Media and Sport (DCMS) has expressed full support for the initiative.
Major artists, including Coldplay, Ed Sheeran, and Sam Fender, along with prominent venues like the Royal Albert Hall, have backed this levy. In 2024, Sam Fender’s tour alone generated over £100,000 through this ticket surcharge. This fund has recently benefited 38 independent venues.
The Current Situation in 2025
Despite these efforts, a significant funding gap remains. In 2025, 22 million of the 24.2 million eligible tickets were sold without the £1 contribution. This situation highlights a potential loss of millions that could help sustain smaller venues.
Challenges and Industry Dynamics
Mark Davyd, CEO of Music Venue Trust, noted that the industry often imposes fees that benefit the promoters rather than the wider ecosystem. He argues that true progress hinges on the involvement of major players like Live Nation, which controls 66% of the UK’s major event ticket market through its subsidiaries, including Ticketmaster.
Former creative industries minister Sir Chris Bryant urged Live Nation to embrace the levy and support its implementation, emphasizing the need for more artists to participate. He warned that the government might legislate the levy if voluntary adoption does not progress.
Responses from the Industry
While some independent venues support the levy, others worry about increased costs for fans already facing high ticket prices. Mike Grieve, managing director of Glasgow’s Sub Club, highlighted the difficulty for smaller venues to take risks on new acts due to narrow profit margins. He acknowledged that the additional funding from the levy would significantly aid these venues.
The Way Forward
Without Live Nation’s leadership, industry experts fear the potential establishment of a statutory levy to ensure funding for grassroots venues. Davyd believes that urgent action is needed for the levy to become the norm. However, if the market leader does not comply with current governmental policies, more drastic measures may soon follow.
Impact of the Levy
Currently, the funds generated are already making a positive impact. Initiatives like the Liveline Fund, a collaboration between Music Venue Trust and Save Our Scene, have supported various venues by providing essential resources for maintenance and operations. In the future, the Live Trust, set to launch in February 2026, aims to manage the £1 levy funds more effectively.
Through its efforts, the music community hopes to stabilize grassroots venues, ensuring that they continue to nurture upcoming talent and sustain the cultural fabric of the UK’s music industry.
