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Post-Brexit touring deal blow? The industry reacts

Live music industry leaders in the UK have played down a report that the European Union (EU) has ruled out easing post-Brexit restrictions on British touring acts.

Labour pledged to improve EU touring for UK artists by “tearing down unnecessary barriers to trade” as part of its manifesto prior to its landslide general election victory in July.

But according to internal documents seen by the Financial Times, Brussels says a deal to cut post-Brexit red tape compelling touring musicians to obtain cultural performance visas and transport permits is not possible, as it would require rewriting the EU-UK Trade and Cooperation Agreement (TCA).

Moreover, the European Commission – the executive arm of the EU – was “not prepared to consider” the necessary amendments to regulations on customs, road haulage and services.

“The briefings repeatedly warn of the need to ‘manage expectations’ in London, given [Prime Minister Keir] Starmer’s refusal to rejoin the EU single market, accept freedom of movement, or form a customs union with the bloc,” adds the report.

Insiders suggest the documents are a sign of pre-positioning from both sides as they prepare for negotiations, which cannot begin until a new commission is formed later this year. A senior EU official tells the FT it is open to compromise, adding: “We have a track record of finding solutions.”

“We welcome the renewed impetus from both sides to solve this issue, and recognise negotiations are needed to find a solution”

Jon Collins, CEO of UK trade body LIVE (Live music Industry Venues and Entertainment), remains hopeful an agreement can be reached.

“Venues, festivals, and artists across both the UK and EU are suffering under the current touring arrangements,” he says. “It is widely recognised that improvements to these touring rules are needed to bring major economic and cultural benefits to both European member states and the UK.

“We welcome the renewed impetus from both sides to solve this issue, and recognise negotiations are needed to find a solution. We agree with the EU Domestic Advisory Group’s view that the solution to touring problems could be delivered without the need to revise the Trade and Co-operation Agreement.”

The Music Managers Forum (MMF) and Featured Artists Coalition (FAC) established the #LetTheMusicMove umbrella campaign in June 2021 to galvanise the music industry’s work on the topic, calling for reductions in post-Brexit costs and red tape for UK artists and musicians when touring in Europe.

In a joint statement to IQ, MMF CEO Annabella Coldrick and FAC chief David Martin say the issue is of fundamental importance to their members.

“While this FT report raises concerns, I don’t think anyone was under any illusions that these challenges would be alleviated in the short term”

“Outside the UK, Europe has typically provided the next step up for artists and musicians looking to build a live touring career,” they said. “In 2019, it represented the largest overseas market for UK artists, four times bigger than the US. But given the increased costs they’re already shouldering to get live shows on the road, the additional burden of red tape and bureaucracy is potentially crippling for the next generation of British talent. It is vital we find a solution that allows cultural movement to flow more freely.

“While this FT report raises concerns, I don’t think anyone was under any illusions that these challenges would be alleviated in the short term. They are part of wider discussions around freedom of movement and other trading negotiations.

“Obviously, we need the UK government to be committed to finding solutions. They made a manifesto commitment to do this. With MPs returning to parliament this week, we are already in the process of reestablishing contact and pushing for urgent progress.”

 


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Labour wins landslide UK election: The biz reacts

The UK live music business has warmly welcomed Labour Party’s historic landslide general election triumph.

Labour will form a government under the leadership of new prime minister Keir Starmer, ending 14 years of Conservative rule.

Requiring 326 seats for a majority, Starmer’s party has claimed 412 seats to the Rishi Sunak-led Conservatives’ 121 – the worst defeat in the latter’s parliamentary history.

“The change begins right here,” said Starmer. “Because this is your democracy, your community and your future. You have voted. It is now time for us to deliver.”

Labour included multiple references to the live music business in its manifesto ahead of yesterday’s (4 July) vote, pledging to cap ticket resale and improve EU touring for UK artists by “tearing down unnecessary barriers to trade”.

“Having worked closely with the party in opposition, LIVE looks forward to working with the incoming Labour government to deliver on its ambitions of making the creative industries central to national renewal, economic growth and boosting the UK’s reputation on the world stage,” says Jon Collins, CEO of trade body LIVE. “The live music sector generated over £6 billion in 2023, with one gig held every four minutes, but this growth has not been uniformly experienced across the sector.

“It is critical that the incoming Labour government delivers on the Culture, Media, and Sport Select Committee’s recommendations for an urgent review of reintroducing a lower rate of VAT on live music tickets and finding other ways to support grassroots music.”

“We hope Labour will work with our whole industry to boost opportunities, increase the talent pool and offer a wider range of live music experiences”

Collins continues: “We also look forward to working closely with the Labour government on our shared manifesto proposals to enable UK artists to tour internationally more easily and clamp down on ticket touts.

“We hope Labour will work with our whole industry to boost opportunities, increase the talent pool and offer a wider range of live music experiences to music fans up and down the UK.”

David Martin, CEO of the Featured Artists Coalition (FAC), also offers his congratulations to the incoming government.

“It’s especially important that we can pick up on unfinished business from the previous parliament and quickly deliver the much-anticipated reforms to music streaming alongside greater support for the live music ecosystem,” he adds. “Music and culture should play a key role in the UK’s future success, so it’s vital that the foundations of our business are reset on a sound and artist-friendly footing.”

Music Managers Forum (MMF) chief executive Annabella Coldrick says the result should serve as a “watershed moment” for the music business.

“We look forward to helping the new Labour government deliver their manifesto commitments on international touring and online ticket touting, both areas on which the MMF has led through the #LetTheMusicMove and FanFair Alliance campaigns,” she says. “For the sake of artists and fans, we all want to see quick progress on both these issues.”

“Our call to Sir Keir and to the incoming culture secretary will be for urgent lowering of VAT on festival ticket sales to 5%”

Labour has vowed to introduce new consumer protections on ticket resale “to put fans back at the heart of events”. The move would include restricting the resale of tickets at more than a small, set percentage above face value, and limit the number of tickets individual resellers can list.

In addition, it would make platforms accountable for the accuracy of information about tickets they list for sale and ensure the Competition and Markets Authority has the powers that it needs to take action against platforms and touts, to protect consumers.

“The Labour Party manifesto reiterated their commitment to capping ticket resale prices and protecting fans from exploitation, and everyone involved with FanFair Alliance will now look to support the new government in achieving that goal as quickly as possible,” says Adam Webb, campaign manager for anti-touting group FanFair Alliance.

Association of Independent Festivals (AIF) CEO John Rostron took the opportunity to resume the organisation’s calls for a VAT reduction on tickets. AIF states that a reduced VAT from 20% to 5% on ticket sales for the next three years will give festival promoters the space they need to rebuild.

“Our call to Sir Keir and to the incoming culture secretary will be for urgent lowering of VAT on festival ticket sales to 5% to mitigate independent festival closures in the UK and sow seeds for growth in 2025,” says Rostron. “We hope, also, that this government will take forward the recommendations of the CMS inquiry into grassroots music venues.”

Lisa Nandy, formerly shadow cabinet minister for international development, has been promoted to culture secretary

There is some disappointment, however, that shadow culture secretary Thangham Debbonaire lost her Bristol Central seat to the Green Party, while musicians Tom Gray of Gomez and Dave Rowntree of Blur, who both stood for Labour, failed in their bids to become MPs.

“We’re sorry to see Thangham Debbonaire lose her seat – she has been excellent in the role of shadow secretary of state for culture,” adds Rostron. “We hope all incoming MPs will now be able to relax for a short while and celebrate at this summer’s array of independent festivals.”

Lisa Nandy, formerly shadow cabinet minister for international development, has been promoted to culture secretary by Starmer. She succeeds former Conservative MP Lucy Frazer in the role. Music Venue Trust CEO Mark Davyd says the group “warmly welcomes Nandy’s appointment”.

“Lisa arrives into the role at a critical time for live music in our communities, with the opportunity to deliver real, positive, long lasting change that can protect, secure and improve the nation’s grassroots music venues,” he says. “We look forward to meeting with her as soon as possible so we can begin the work of getting British music back to its rightful position as the beating heart of our towns and cities.”


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