JUNE | THE ANATOMY OF…
Graph 1: Breakdown of £70bn UK events industry by sector
Taking stock
The release of some key statistics allows us
to see the enormous damage Covid-19 has
done to the festival sector, and the events
industry at large
The Association of Independent
Festivals (AIF) has released new
figures, which allow us to see the
extent of the financial damage caused by
Covid-19. Among the key statistics were
that 92% of those surveyed, representing
independent festivals across the UK, said
they were at risk of closure.
AIF CEO Paul Reed said: “While the
government has been receptive to AIF’s
counsel, it has not taken meaningful
action to protect our sector. Singleevent
festival companies are seasonal
businesses. They need urgent support
now and ongoing support after lockdown
ends and restrictions are eased.
“This is not a temporary shutdown of
business – it is an entire year of income
and trade wiped out. If support is not
offered throughout the autumn, then the
sector will face widespread job losses that
will seriously inhibit its ability to deliver
events in 2021.
“There is no safety net for independent
festivals, many of which have fallen
between the cracks of current
government support measures such
as loans and grants. For example, zero
percent of AIF members have been able
to successfully access the Coronavirus
Business Interruption Loans scheme.
“UK festivals are not only an intrinsic,
defining part of British culture but also
an economic powerhouse that generates
hundreds of millions for the economy –
we urge government to recognise them
as such.”
This graph breaks down the total value
of the UK events industry, which the
BVEP puts at £70bn. It is calculated in
direct spend, and comprises just over
£31bn for business events, with around
80
70
60
50
£bn 40
30
20
10
0
£40bn contributed by leisure and
outdoor events. The festival industry is
worth £6bn in direct spend, while live
music is separately worth £17.6bn.
Graph 2: The economic contribution of UK outdoor events
Outdoor events in the UK contributed to almost 600,000 jobs and over £30bn of
spend in 2018, according to the BVEP. Here we can see how those figures spread out
across music, arts, festivals and corporate outdoor events.
Type of
Outdoor Event
Music
Arts and Culture
Fairs and Shows
Recreation
Corporate
Totals
92%
of AIF members,
representing
independent festivals
across the UK, say they
are are at risk of closure
without further support
Total Attendances
(millions)
35.3
29.5
43.3
29.5
3.9
141.5
Key Stats
Total Spend
(£ millions)
17,606
5,590
5,994
9,643
690
39,523
£800m
The festival sector is facing
refunds of up to £800m this
summer
£375,000
AIF members have an
average ‘sunk cost’ – which
they cannot recoup – of
£375,000
• Conferences and meetings
• Exhibitions and trade fairs
• Incentive Travel
• Corporate outdoor events
• Arts and cultural events
• Festivals, fairrs and shows
• Music events
• Sporting events
• Total direct spend
Employment
(FTE jobs)
234,380
92,692
81,501
168,269
12,257
589,099
0%
of AIF members have
secured coronavirus
business interruption
loans (CBILs)
1.5%
Only 1.5% of AIF
members are covered by
insurance for Covid-19
cancellations
08