UK live sector responds to Job Support Scheme

02.10.2020.

The UK’s live music industry has found little comfort in the government’s latest support scheme, revealed today by chancellor Rishi Sunak.

The chancellor announced that the six-month Jobs Support Scheme, which is due to launch on 1 November and replace the furlough scheme, will be expanded to support businesses whose premises are legally required to shut for some period over winter as part of local or national restrictions.

However, the live music industry – the vast majority of which remains shuttered due to restrictions, ranging from the six-month 10 pm curfew, to capacity restrictions with social distancing, to festivals simply not allowed to go ahead – is excluded from the support.

Phil Bowdery, chair of Concert Promoters Association, says: “It seems like the chancellor has overlooked the plight of the tens of thousands of people in the live music industry who are currently unable to work due to Covid-related government restrictions. By focussing his criteria so narrowly on buildings which are allowed to open, the new scheme risks overlooking businesses who can technically open their doors but cannot trade economically due to the restrictions on gatherings in clubs, concert halls and arenas.

“Revenue in the live music industry will be down a catastrophic 80% in 2019 and over 70% of the employees in the industry are currently utilising the furlough scheme. If the government fails to ensure that all sectors that can’t work can access the new scheme, there will be tens of thousands of additional job losses coming before the end of the year.”

Greg Parmley, LIVE CEO says: “The UK’s live music business remains one of the most viable industries in the UK, but is still unable to operate. Our entire workforce remains in jeopardy while venues, events and festivals are forced to remain shuttered. The chancellor’s most recent announcement gives no comfort to the skilled and talented workforce who face a desperate and bitter winter.”

Annabella Coldrick, chief executive of Music Managers Forum says: “The plight of the UK’s live music business has been the focus of two parliamentary debates this week. With furlough ending in a few weeks’ time, our entire industry has desperately sought reassurance from the government that they understand how critical this situation is becoming, and what our country stands to lose if thousands upon thousands of viable jobs are not sufficiently supported and safeguarded.

“The chancellor has already had to backpedal once this week in a discussion about retraining, and following today’s announcement we need urgent clarification as to whether anyone in our sector will benefit from expansion to the Job Support Scheme. If there is no Plan B, then the impact will be catastrophic on the artists, freelance workers and small businesses on who British music depends.”

Andy Lenthall, GM of the Production Services Associations, says: “Once again, the technicians and technical suppliers to live events have been ignored. Thousands of individuals and businesses that rely on live events, still unable to work due to government restrictions and suffering catastrophic drops in revenues as a result will receive no support from the chancellor’s recent adjustments in support. All the pain, none of the gain.”

Steve Heap, general secretary of the Association of Festival Organisers says: “The chancellor’s new scheme appears to have failed the viable live music industry that was the first to close down. What is, effectively a furlough scheme extension aimed at businesses that have opened and now have to close again, completely misses out the businesses in the live music industry that have been closed for over six months. Festivals, concerts and clubs, along with their support crews, cannot survive another winter with no income and no government scheme to see them through until next spring.”