“We have pushed these music venues as far as they can go”: MVT urges government action to save grassroots music sector

The report, published yesterday (20 January), revealed that while the grassroots music sector contributes over £500 million annually to the UK economy, more than half (53%) of grassroots music venues in the UK made no profit in 2025. Average profit margins sat at just 2.5%, with roughly 6,000 jobs lost due to government changes in business rates, national insurance, and strain to meet tax burdens.

Speaking on the issue, Music Venue Trust CEO and founder Mark Davyd says: “We have pushed these music venues as far as they can go.

“These 6,000 job losses didn’t happen because grassroots venues failed. It happened because people keep have been making poor decisions at a political, policy and structural level with the ridiculous expectation that the smallest, most fragile part of the live music ecosystem would be able to quietly absorb the consequences.

“We don’t know what talent we’ve lost. We don’t know which future promoters, engineers, managers, venue operators or artists quietly slipped out of the ecosystem without anyone noticing. That long term loss is invisible in the short term, and it is exactly why it is so dangerous.“

In the report, Music Venue Trust has asserted that most grassroots music venues are now one financial emergency away from reaching a crisis point.

With 30 venues that closed their doors permanently last year, the touring circuit is also suffering, as 175 UK towns and cities are no longer included in regular tour schedules by professional artists. The growing constraints in touring also pose a barrier to emerging artists who rely on these shows for development.

Acknowledging that the current economic model for sustaining live music in the grassroots sector is no longer working, Music Venue Trust has developed a plan to move away from crisis response.

As part of their call to action, Music Venue Trust will be investing £2 million into programs such as Venue MOT and Off The Grid, which aim to permanently reduce costs and improve sustainability, while expanding their existing Venue Support Team and Emergency Hardship Relief Fund to prevent further closures.

The Trust will also be developing Liveline, a fully-funded national touring programme that will address the causes of the touring crisis, covering venue costs in partnership with Save Our Scene and Association of Independent Promoters.

In addition to the Trust’s own initiatives, they have issued government demands to revive the grassroots sector, including fundamental tax reform to address the issue of venues being taxed before making a profit, permanent legal protection for venues to prevent closures caused by noise complaints from new developments, and a permanent Live Music Commission to oversee long-term planning for the sector.

Speaking about Music Venue Trust’s intervention and demand for government support, Davyd adds: “We have reached the limits of what venues can absorb on margins of 2.5%. This sector has done all it can to keep music live in our communities, it now needs permanent protection, structural reform, and leadership that recognises grassroots venues as essential national infrastructure. That obviously needs to come in the form of a coherent strategy from government, but they are not the sole solution.”