The UK government's 2024 budget has elicited mixed reactions within the live music sector. While certain measures aim to stimulate economic growth, others pose significant challenges for grassroots music venues and the broader industry.

A major point of contention is the reduction of business rates relief for grassroots music venues from 75% to 40%, effective April 1, 2025. The Music Venue Trust warns that this change places over 350 venues at immediate risk of closure, potentially leading to the loss of more than 12,000 jobs and over £250 million in economic activity.

The budget also includes an increase in national insurance contributions from 13.8% to 15%. This hike adds financial pressure on small businesses, including independent music venues, which may struggle to absorb the additional costs without passing them on to consumers.

On a positive note, the budget raises the minimum wage by 6.7% to £12.21 per hour. While this benefits employees, it presents a challenge for venues operating on thin margins, as they must balance fair wages with financial viability.

The budget provides targeted support for certain cultural sectors, such as tax relief for orchestras. However, the live music sector, particularly grassroots venues, feels overlooked, with calls for a temporary cut to VAT on concert tickets to stimulate activity remaining unaddressed.

Industry Response

Industry leaders express concern that the budget fails to recognize the economic and cultural value of the live music sector. The Music Venue Trust describes the budget as a "complete collapse" for grassroots venues, emphasizing the need for immediate government intervention to prevent widespread closures.

Looking Forward

The live music industry faces a challenging landscape in the wake of the 2024 budget. Stakeholders are calling for a reassessment of policies to ensure the sector's sustainability and growth, highlighting the need for a balanced approach that supports both economic recovery and cultural vitality.