Asked by: Steff Aquarone (Liberal Democrat - North Norfolk)
Question to the Department for Digital, Culture, Media & Sport:
To ask the Secretary of State for Culture, Media and Sport, whether she has made an assessment of the potential merits of cutting VAT for grassroots music venues.
Answered by Chris Bryant - Minister of State (Department for Culture, Media and Sport)
The Government response to the Culture, Media and Sport Select Committee's report on grassroots music venues sets out our commitment to working across the music sector to support the sustainability of grassroots music. In particular, the Government is urging the live music industry to introduce a voluntary levy on tickets for stadium and arena shows, to help safeguard the future of the grassroots music sector. As part of our support for the sector, we are continuing to fund Arts Council England’s successful Supporting Grassroots Music Fund which provides grants to grassroots music venues, recording studios, promoters and festivals of live and electronic music in England.
As set out in the Government response, we have no plans to introduce a cut to VAT based on venue capacity or to undertake a bespoke economic analysis of the impact of a VAT cut to 10% on tickets.
In July 2024 the Government published an audit of public spending. This set out £22 billion of in-year pressures. These pressures were not limited to 2024–25, with the vast majority recurring in future years.
The Government is now fixing the foundations by delivering economic and fiscal stability, supporting public services, boosting investment, and setting the public finances on a sustainable path. These are essential foundations for long-run economic growth, and require tough decisions on tax, spending and welfare.