The Government is poised to implement a ban on the resale of live event tickets for profit. This move comes as a response to the widespread issue of touts and resale platforms selling tickets at exorbitant prices well above their original value.
The Labour manifesto had pledged to introduce stronger measures to protect consumers from being deceived or priced out of events by touts who use automated bots to purchase tickets in bulk as soon as they are released for sale. This practice enables them to resell tickets at significantly inflated prices on secondary ticketing websites.
Initial discussions on the proposed changes had considered capping resale prices at a maximum of 30% above the face value of a ticket. However, recent reports from the Guardian and Financial Times indicate that ministers are leaning towards setting the cap at the face value itself, although additional fees may still be applicable on top of that price.
While the Government has refrained from commenting on these reports, speculations suggest that an official announcement could be made shortly. This anticipated action follows a concerted effort by prominent figures in the music industry, including Coldplay, Dua Lipa, and Radiohead, who have been advocating for cost reductions to benefit fans.
Renowned artists such as Robert Smith of The Cure, New Order, Mark Knopfler, Iron Maiden, PJ Harvey, and Sam Fender have also joined the cause by endorsing a statement calling for a price cap to “rebuild trust in the ticketing system” and enhance public access to the arts.
Various stakeholders, including Which?, FanFair Alliance, O2, the Football Supporters’ Association, and organizations representing the music and theater sectors, have united in support of the price cap initiative. Rocio Concha, Director of Policy and Advocacy at Which?, hailed the move as a positive step towards curbing ticket resale exploitation and ensuring that tickets reach genuine fans at fair prices.
Ticketmaster’s parent company, Live Nation Entertainment, has expressed full support for the Government’s proposal to prohibit ticket resale above face value, emphasizing their commitment to maintaining fair pricing and accessibility for live events. Conversely, StubHub has cautioned that implementing a price cap could inadvertently drive ticket transactions towards unregulated black markets, potentially exposing consumers to risks and fraudulent activities.
Viagogo has also raised concerns about the effectiveness of price caps based on experiences in other countries, citing higher fraud rates in nations with such measures in place. They argue that price restrictions could steer consumers towards unregulated ticketing platforms, leading to adverse consequences for buyers.
Overall, the impending ban on ticket resale for profit reflects a significant step towards safeguarding consumers and promoting fair access to live events, with stakeholders emphasizing the need for comprehensive legislation to support these measures.