UK Music Chief Executive Jamie Njoku-Goodwin has warned music venues, studios and other music businesses face closure without swift action to combat soaring energy bills.
The energy price cap does not apply to businesses, and as a result music venues are seeing their energy bills increase by an average of 300 percent, with some venues seeing an increase of up to 740 percent. This adds tens of thousands of pounds to annual running costs, which the Music Venue Trust (MVT) warns could lead to the permanent closure of around 30 percent of UK venues. One venue has been quoted £42,000 a year for fuel, with the supplier saying they will only accept full payment in advance. This more than triples the venue's previous bill, which came to £13,200.
To combat rising prices and extend a lifeline to music business, Jamie Njoku-Goodwin has is calling on the government to help with business rates and cut VAT from its current 20 percent. He has warned that venues, studios and other music companies across the UK are under threat due to the fuel crisis, and called for immediate action.
UK Music Chief Executive Jamie Njoku-Goodwin says, ‘Spiralling energy costs have created an existential threat for venues and music studios. It’s urgent that Government takes action to support businesses with the costs the are facing.’
‘We all saw just how miserable life was without live music during the pandemic, when venues were closed for months – the high cost of energy bills could now close them forever. The new Prime Minister must ensure that music businesses are included in the support measures that are brought forward to deal with soaring energy costs. The Government should look at cutting VAT and extending business rate support to help music businesses that are fighting for their survival.'
