UK live industry backs plans for ticket resale cap

The UK live music industry has come out strongly in favour of a price cap on resale tickets as the government’s consultation into the secondary market draws to a close.

But ahead of Friday’s deadline (4 April) IQ understands there is no consensus on the acceptable level of resale uplift the UK business will recommend. The government previously indicated it would be looking to cap resale at 10% above face value, but sought views on levels ranging from no uplift at all to 30%.

The long-anticipated consultation was initiated back in January, with the government vowing to “tackle greedy touts and give power back to fans”. Interested parties including fans, ticketing platforms and the wider live events sector were invited to submit responses.

Jonathan Brown, CEO of the Society of Ticket Retailers (STAR), says the organisation supports a “consumer-first approach” to resale.

“We back a capped resale model that already operates effectively in the UK, enabling genuine fans to resell tickets they can’t use, while preventing the kind of speculative profiteering that distorts the market,” he says. “A mandated price cap will help remove the incentive for touts to purchase tickets at scale for resale and therefore reduce bot attacks, protect consumers, and ensure fairer access to events.

“However, any new legislation needs to be backed with agile, responsive and effective enforcement, including against offshore resellers and platforms seeking to ignore UK law.”

“Ticketmaster welcomes any action to protect fans and support the live industry”

Speaking to IQ, Ticketmaster UK MD Andrew Parsons says the company is committed to making ticketing “simple and transparent”.

“Since 2018, our resale service has been capped at the original price paid, providing fans a safe place to sell tickets they can’t use right up to the event date,” he says. “This ensures as many people as possible can go and, as we all know, packed venues benefit not just performers, and the venues themselves, but also the local economy.

“We support proposals to introduce an industry-wide resale price cap, backed by a strong regulatory regime and enforcement. Ticketmaster welcomes any action to protect fans and support the live industry.”

AXS UK MD Chris Lipscomb stresses that the firm “supports any effort that helps get tickets into the hands of real fans at fair prices”. “To that end, we limit resale in the UK to 10% above price paid,” he notes.

Richard Davies, founder of ethical resale business Twickets, says the company “strongly supports” a cap on resale ticket prices.

“We’ve consistently upheld a strict policy of reselling tickets only at face value plus original booking fee to counteract exploitative practices prevalent in the secondary market,” says Davies. “We see no validity in allowing any mark up on the original price paid by the customer.

“The new legal obligations placed on resale platforms will mean a step toward protecting genuine fans and fostering fairness within the ticketing ecosystem. While inflated resale prices are undeniably problematic, the excessive booking fees charged by secondary platforms compound the issue further.”

“As ever, there are details to be hammered out, but we are right behind the broad thrust”

Jon Collins, CEO of UK trade body LIVE, points out that research carried out for the group by market research agency Opinium showed that just 12% of the 2,000 members of public surveyed opposed the idea of a cap.

“LIVE fully supports government action in this space to remove touts from our sector, end ticket harvesting and see tickets in the hands of genuine fans,” he says. “As ever, there are details to be hammered out, but we are right behind the broad thrust. We are pleased to see government delivering on its manifesto commitment in this area, bringing forward measures which permit responsible and fair fan-to-fan resale, while eliminating third-party profiteering.”

O2, which sells over 1.5 million tickets per year to its customers via Priority Tickets, has been vocal in calling for a 10% price cap on resale. The firm’s Fight for Fairer Ticketing campaign partnered with Bastille singer Dan Smith last week to launch Stamp It Tout – an online hub designed to help fans navigate the ticket resale market safely.

UK watchdog the Competition & Markets Authority (CMA) added its backing to a price cap last month. It stopped short of recommending a specific limit, warning of “unintended consequences, such as creating a point of price coordination for sellers”. However, it noted that proceeding with a “no uplift” option on resale would be consistent with existing legislation in Ireland and New South Wales, Australia.

According to CMA analysis, typical mark-ups on tickets sold on the secondary market are often more than 50 per cent and investigations by Trading Standards have uncovered evidence of tickets being resold for up to six times their original cost.

“The resale price should be capped at the price paid – including booking fee – with a small fixed admin fee”

Face-value European Alliance for Ticketing (FEAT) director Sam Shemtob notes that talk of a UK price cap was mooted as far back as 2011 by Labour MP Sharon Hodgson, chair of the All Party Parliamentary Group on Ticket Abuse.

“She’s kept ticket resale as an issue throughout the years of being in opposition, and it’s fantastic that the UK could be close to a historic change in the law in this respect,” says Shemtob. “Our position is in our name – that’s to say the resale price should be capped at the price paid – including booking fee – with a small fixed admin fee chargeable on top for the platform handling the transaction.”

Other plans being considered by the government include limiting the number of tickets resellers can list to the maximum they are allowed to purchase on the primary market.

In addition, there are proposals to increase the accountability of ticket resale websites and apps, creating new legal obligations so that they can be held responsible by Trading Standards and the Competition and Market Authority for the accuracy of information they provide to fans. The government also plans to review existing legislation to strengthen consumer protection, including stronger fines and a new licensing regime for resale platforms.

Adam Webb, campaign manager for anti-touting pressure group FanFair Alliance, says the solution should be “simple, palatable and effective”. He also warns of the need to close off “all potential loopholes, and ensure offshore ‘uncapped’ ticket touting websites cannot circumvent the rules”.

“Promisingly, it feels the Competition & Markets Authority are thinking along very similar lines here, and we remain optimistic this consultation will lead to some genuinely positive outcomes,” he finishes.

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