UK grassroots music venues will receive a 20 percent cut on business rates starting in April 2027, Prime Minister Andy Burnham announced on Thursday.
The announcement came just days after Burnham assumed office on July 20, following the resignation of his predecessor Sir Keir Starmer. Burnham previously served as mayor of Greater Manchester.
According to Billboard, No. 10 Downing Street estimates the rate cut could save each qualifying venue around £1,000. The cut applies to pubs, clubs, and music venues. It will be funded by reviewing tax reliefs for businesses that, in the government's words, "do not make a positive contribution to local communities, such as vape shops."
Writing on his X account, Burnham said, "I won't stand by while these cherished local spaces disappear, replaced by boarded-up windows and 'For Sale' signs. They're the heart of our communities and it's time we backed them."
The announcement comes at a difficult moment for the sector. In January, the Music Venue Trust reported that 53 percent of all grassroots music venues were unable to turn a profit in 2025. The trust also reported that over 6,000 jobs were lost in the sector, a 19 percent contraction in the overall workforce.
A number of artists including Harry Styles, Coldplay, and Sam Fender have voluntarily pledged £1 from every ticket sold to support grassroots venues. The Labour government has also discussed a mandatory ticket levy on arena and stadium shows as a longer-term funding mechanism.
Music Venue Trust CEO Mark Davyd welcomed the news. "MVT warmly welcomes this announcement from the government, and its recognition that grassroots music venues are essential to our local communities. The 20% additional reduction on business rates from April 2027 is an encouraging first step in a range of opportunities available to Andy Burnham's new team to not just protect and secure live music, but begin to restore its central role at the heart of our towns and cities."
Davyd also flagged that some implementation issues remain with previous relief programs. He added, "There remain some issues of implementation of previous reliefs, and we will work with colleagues in government to ensure that all grassroots music venues in England are recognised and eligible. We call on Senedd, Holyrood, and the Northern Ireland Assembly to swiftly confirm they will match this much needed support through Barnett formula consequential."
The government has not yet announced whether Scotland, Wales, and Northern Ireland will adopt matching measures.
