Ticket Abuse

Helen Grant Excerpts

Tuesday 21st January 2014 Westminster Hall

[The Parliamentary Under-Secretary of State for Culture, Media and Sport (Mrs Helen Grant)]

It is a great pleasure to serve under your chairmanship, Mr Crausby. I would like to start by telling the hon. Member for Washington and Sunderland West (Mrs Hodgson) that I too was a Take That fan, although perhaps not first generation. I congratulate her on her very good musical taste and thank her for securing this debate. I also thank my hon. Friends the Members for Shipley (Philip Davies), for Hove (Mike Weatherley), for High Peak (Andrew Bingham) and for Bury North (Mr Nuttall), as well as the shadow Minister, the hon. Member for Eltham (Clive Efford), for their important contributions, which I have listened to carefully.

I welcome the opportunity to discuss ticket abuse, which is important to my Department, and I would like to assure the hon. Lady that the Government take the issue seriously and keep it under review. My officials have had lengthy discussions with the organisers of the rugby world cup—who have been repeatedly mentioned by Members today—and with other organisers of various events. We are aware of the concerns that the hon. Lady and others have highlighted today.

Although the Government have no plans to introduce new regulations on the ticketing and events market, we continue to encourage improvements so that all customers have an opportunity to purchase tickets and can do so in a secure, safe and proper environment. We believe that it is for event organisers, together with the professional ticketing organisations, to determine suitable arrangements for ticket sales to their various events. That is why my officials have had extensive discussions with both the event organisers and the ticketing organisations such as Ticketmaster.

Where the Government differ from some of the opinions expressed today is in the belief that the best way to achieve improvements is through legislation. Our view is that the best way to do that is by building effective safeguards into the ticketing processes. For example, at a meeting last month with Ticketmaster, which is the ticketing partner for the rugby world cup, officials had a detailed briefing on the options available to event organisers. Options include using barcoding, having named tickets, staggering the release of tickets, and rewarding fans with a history of support. I note that tickets for the ever-popular Glastonbury festival, for example, are managed very effectively in that way. I am pleased to learn that the rugby world cup organisers have already decided to sell 500,000 of the 2.3 million tickets to members and clubs through the Rugby Football Union. That will ensure that tickets really do go into the hands of genuine fans.

The question of ticket re-sale is interesting and important. There are, of course, genuine reasons why someone might wish to re-sell their ticket—for example, if their team does not qualify for the finals. In such an instance, we would look to the event organisers to offer an official platform to return or re-sell the ticket. That would have the added benefit, which I believe was mentioned by my hon. Friend the Member for Shipley, of offering to fans a last minute opportunity to buy tickets at face value. That proved to be a successful way of ensuring that fans could safely buy and sell tickets for the 2012 Olympic and Paralympic games. I understand that the rugby world cup will also have an official re-sale mechanism in place—the shadow Minister asked about that a few moments ago.

We must recognise above all that there is a legitimate market. People are willing to pay above the market value of a ticket to attend an event. Others have genuine reasons to sell their tickets. I have listened carefully to everyone, but we do not want to criminalise fans, and we must not. Successive Governments and Select Committees have looked into the market in great detail and concluded that events organisers, promoters and ticket agents need to find solutions to ticketing and access to their events. Members will be aware that the Government made an exception in producing legislation for the London 2012 Olympic and Paralympic games because that was a requirement of the bid. The hon. Lady conceded that point.

Operation Podium has also been mentioned. The report on that operation clearly sets out that, even where legislation exists—such as for the re-sale of football tickets—it does not necessarily prevent the secondary market from operating. The hon. Lady raised the issue of the football tickets loophole. I will certainly raise that issue with the football authorities. I know that many season tickets take the form of electronic cards that are quite difficult to sell on for individual matches, which I think helps. I am happy to take that issue further. The Home Office is in charge of the legislation, so it would decide whether there is any risk to public order. I am sure that it will keep an eye on the issue and act accordingly.

Although further regulations might act as a deterrent for some, the regulatory burden imposed by stronger regulations is one that local authorities and police forces can ill afford to bear. The Government have made a commitment to reduce regulation and will only introduce new regulation as a last resort. We believe that the lightest practical regulatory burden is the right approach, particularly as powers exist to prevent criminal activity and unauthorised re-sale. Local authorities have powers to prevent unlicensed trading in the streets around venues under the Local Government (Miscellaneous Provisions) Act 1982, and fraudulent activity is already a criminal offence under the Fraud Act 2006. The police have had some successes in tackling such activity, but some of it occurs abroad where our powers of enforcement do not extend, unfortunately.

The key aim must be to reduce fraud by carefully educating consumers about the risks they take in using unofficial marketplaces. Removing the ability for consumers to buy tickets legitimately will ultimately drive demand to unauthorised websites, which are much harder to police. The Government have previously stated that unless there is proper evidence of market failure, there is no need for us to take action. We still believe that to be the case, but we will keep the position under careful review.