Grassroots venues are the bedrock of the country’s music industry, giving artists a place to hone their craft, and punters a place to see them perform up-close – possibly before a bigger, starrier career. But since the start of 2023, more than 150 of these venues have permanently closed their doors – about 16% of the entire UK sector.
In this moment of crisis, a solution is on the table: a proposed £1 levy on tickets for all arena and stadium shows with more than 5,000 capacity could raise up to £25m annually for the grassroots venues facing closure. A poll of about 8,000 music fans found that 93% supported the initiative by the charity Music Venue Trust, and a spokesperson from the Department for Culture, Media and Sport (DCMS) says it “fully supports” the rollout.
Over the last year, major artists such as Coldplay, Ed Sheeran, Pulp, Diana Ross, Katy Perry and Radiohead have all committed to it, alongside venues such as the Royal Albert Hall and ticketing platform Tixel. Sam Fender’s 2024 arena tour raised more than £100,000 via the levy, which has recently been distributed to 38 independent venues. “The idea that money from shows in big venues supports the smaller venues, where it all starts for musicians like me, is just common sense,” Fender has said.
But a huge funding gap remains. For concerts in 2025, more than 22m of 24.2m eligible tickets are sold without the £1 contribution, according to industry data shared with the Guardian. And while the early picture for 2026 shows positive momentum, with uptake rising to 28%, this still translates to millions in missing potential support. “The industry is very good at adding fees where the company adding the fee is the beneficiary, and not quite so efficient when the money is for the wider ecosystem,” says Mark Davyd, chief executive of Music Venue Trust.
Steve Dix of Hackney venue Paper Dress Vintage backs the levy as an important step in stabilising grassroots venues across the country, and is blunt about what he thinks is its main obstacle. “Some of the big players such as AEG Presents, SJM and Kilimanjaro Live have already stepped up and shown real leadership,” he says, referring to three of the big promoters that arrange arena and stadium gigs. “But the truth is that until the biggest [promoter] in the world, Live Nation, does the same, progress will be held back. Their participation is the missing piece that would turn this from a promising initiative into an industry standard.”
According to data presented to the government’s Business and Trade Committee by the Association of Independent Festivals (AIF), Live Nation controls 66% of the UK’s major event ticket market in 2025, either directly or through its subsidiary companies such as Ticketmaster. Back in May, former minister for creative industries, Sir Chris Bryant, called on Live Nation to “step up” regarding levy adoption, and “help in relation to Ticketmaster and … any of the acts they are representing”. Bryant also called on more artists to sign up to the levy, and suggested that the government would act “if this weren’t to be proceeding”, enshrining the £1 levy in law.
But Davyd claims a statutory government levy would be a “blunt instrument”, taking years to legislate, with the risk of funds being misdirected. In contrast, he argues the voluntary model “can be delivered very fast, and can be very effectively distributed.” A spokesperson for Salford experimental venue The White Hotel agrees: “As soon as the government gets involved in anything you know they’re just going to make a pig’s ear of it.” (DCMS did not comment on this criticism.)
The money is already making a difference on the ground. Fender’s donation, for example, has been distributed via the Liveline Fund – a Music Venue Trust and Save Our Scene initiative – allowing venues such as Paper Dress Vintage to replace a broken mixing desk, Glasgow’s Sub Club to repair their iconic “bodysonic” dancefloor, and providing The White Hotel with “vital” financial support. This fund is a precursor to the Live Trust, a charity established by the wider industry in January 2025 to be the official administrator for the £1 levy, set to begin distributing funds in February 2026.
When asked whether it would indeed “step up” and add the £1 levy to all of the major concerts it promotes, Live Nation did not directly respond, but affirmed that “supporting new talent is vital to the future of music” and that it was “proud to champion emerging artists and grassroots venues … We support the aims of the grassroots ticket levy, and it’s encouraging to see artists we promote already opting in for their shows.”
The £1 levy has its critics. Some argue that the cost should not be passed on to fans, who already face escalating ticket prices. “There has been something of a mixed response,” says Mike Grieve, Sub Club’s managing director, noting a feeling that “major concert promoters are already asking their customers to dig deep to pay for tickets”.
However, he says the additional funding is a “massive help” for smaller operators, particularly as razor-thin margins are hampering their ability to book lesser-known or experimental acts. “It has become unsustainable for promoters to take any creative risk,” he adds.
Davyd suggests that when a promoter links with a ticketing company to sell tickets, the ticketing company should be asking whether the absence of the £1 levy was a deliberate choice or an accidental omission. But without Live Nation taking the lead, “it’s difficult to see how a statutory levy is avoided”, Davyd claims. “If the market leader in an industry refuses to do what is now government policy, we should expect the government to take different action.”
