The UK government is contemplating the introduction of a price cap on ticket resales as part of its strategy to counteract ticket touting. This initiative follows findings from the Competition and Markets Authority (CMA), which revealed that tickets sold on the resale market are often marked up by over 50%. With a significant public outcry regarding exorbitant prices, particularly during high-demand events, the government aims to ensure fair pricing for music and event fans.
The proposed cap could range from the ticket's original face value to an additional 30% markup, providing clearer guidelines for resale pricing. The government has announced plans for a public consultation to gather opinions on this potential measure. The consultation aims to explore how the ticketing system functions for fans and whether current protections against unfair practices are adequate.
UK Music, representing the interests of the UK music industry, has been vocal in its support for a "clear price cap" on resale tickets. The organization argues that this would help safeguard consumers and ensure that funds spent on tickets benefit the live events sector rather than lining the pockets of resellers.
Viagogo, a major player in the ticket resale market, expressed its willingness to engage constructively with the government regarding these proposals. The company emphasized its commitment to improving consumer protections in the ticketing market and looks forward to responding to the government's consultation.
The issue of ticket touting gained renewed attention following several high-profile incidents where fans faced astronomical prices for concert tickets. Complaints surged after tickets for the Oasis concert last August were sold for more than £350, despite their initial face value being only £150. Such instances have led to calls for reform, particularly from campaign groups like FanFair Alliance, which described the proposed measures as "potentially game-changing."
Investigations conducted by Trading Standards have uncovered alarming evidence of tickets being resold at prices up to six times their original cost. In light of these findings, the government seeks to determine whether a cap would effectively mitigate these practices.
Ticketmaster, one of the largest ticketing platforms in the UK, has indicated its support for a resale price cap. The company clarified that it does not set prices for tickets; rather, it is the responsibility of event organizers to price tickets according to market demand. Ticketmaster has maintained that since 2018, their resale platform has capped prices at face value, allowing fans to sell tickets they cannot use at the original price set by artists and organizers.
The proposal has garnered support from various sectors, including politicians. Sharon Hodgson, Labour MP and chair of the all-party parliamentary group on ticket abuse, welcomed the government's initiative. She urged those affected by inflated prices or scams within the secondary market to participate in the consultation process.
The government's push for a cap aligns with similar measures taken in Ireland, where ticket touting was banned in 2021. As discussions continue, industry stakeholders and consumers alike are keenly awaiting the outcomes of the forthcoming consultation.