LIVE responds to Chancellors announcement on financial support
21.12.2021.Today the Chancellor announced new economic support measures to support businesses impacted by the rapid spread of the Omicron variant. You can read the full announcement and detail of the measures here.
In response to today’s announcement LIVE has released the followed statement:
“We welcome the news that the Government has started to deliver much-needed financial support, but with the live music sector teetering on the brink, the package falls short of the urgent cash injection businesses need to keep them afloat.
“The amount of money pales in comparison to the mounting losses faced by the sector and the process will add layers of complexity at a time when businesses are already struggling with skeleton staff rotas and huge losses. We have been down this path earlier in the pandemic, with extensive form filling and application processes, by which point it will likely be too late. What we really need is an urgent boost that can help today by leaving money in businesses, such as an emergency reduction in VAT and deferral of loan repayments.
Greg Parmley, CEO, LIVE
LIVE has been calling for urgent financial support since audiences and ticket sales started to rapidly drop in light of the Omicron variant of Covid-19.
LIVE has made it clear to the government that the single most effective way to direct cash into the bottom line of struggling companies would be to:
- Scrap the planned increase in VAT, and institute and emergency reduction back to 5% during the worst of the Omicron wave
- Offer short term financial support for the sector as it battles with the immediate impacts of cancellations
- Cancel business rates well into 2022, and defer any loan repayments
- Fix the Government reinsurance scheme so that it actually covers the risks people face – in particular cancellation due to an artist getting Covid or the reintroduction of social distancing
