LIVE music fans could see the cost of tickets rise after arenas were hit with soaring property taxes that could more than double their bills in the next two years.
Venues including the O2 in London and Co-op Live in Manchester have seen a steep increase in valuation, according to analysis of Valuation Office Agency figures by global tax firm Ryan.
The data revealed that the rateable values have jumped by up to 300%, which has pushed up tax bills at these venues.
The rateable value is a Valuation Office Agency estimate of how much it would cost to rent a property for a year from a set date.
The O2 Arena, which hosted musicians including Lady Gaga, Usher and Billie Eilish this year, is among the worst affected.
Its tax bill is set to climb by nearly £2million in 2026-27.
The Co-op Live in Manchester, Manchester Arena and OVO Arena Wembley have also seen their rateable values rise, causing big bill increases.
The news comes after the Chancellor confirmed in the Budget that new business rates payments for commercial properties will be based on valuations made last year.
Meanwhile, a new multiplier will be used to calculate venues’ overall bills.
But as arenas are rarely let on the open market, the Valuation Office Agency (VOA) has to calculate their value from economic performance instead of rents.
Meanwhile, their values have been pushed up in part because of the timing of the data the VOA used.
The figures were compared with 2021, when arenas were shut or very restricted due to the pandemic.
Large properties will have their bills capped through transitional relief at 30% in the first year.
Businesses get the relief if their rates go up or down by more than a certain amount, so changes to their bills are phased in gradually.
But when the relief ends, businesses are still facing big increases in 2026-27 and the amount of tax they owe to the government could more than double in three years.
As a result, they could pass on some of these costs to consumers, pushing up prices.
Meanwhile, smaller venues will also see their rates rise at a time when the sector is already under pressure.
Mark Davyd, chief executive of the Music Venue Trust, warned some smaller venues may be forced to close and fans will also have to pay more.
He said: “It’s going to have to be passed on.
“People see these giant events, they see the flashing lights and all the incredible production there is at this level. Now it’s being done on a very small profit margin.”
He added that higher music costs may put artists off coming to the UK or cause them to do shorter tours.
He urged the government to step in and offer higher relief on business rates for music venues.
Higher ticket prices
It’s not the first time that fans have been hit by soaring ticket prices.
Last year Oasis fans were furious after ticket prices more than doubled from £148 to £355 on Ticketmaster.
The increase was due to surge pricing, which is when well-known brands adjust their prices during times when there is a lot of demand.
Doing so helps them to make extra profit, which can help offset higher costs.
Ticketmaster said it doesn’t set prices and the increase was down to the “event organiser”, who priced the tickets “according to their market value”.
Ticketmaster was slammed by the Competition and Markets Authority (CMA) after further claims revealed it sold “platinum” tickets for two and a half times the price of a “standard” ticket – even though they were the same.
Meanwhile, fans were not told that ticket prices would rise once cheaper options sold out.
The CMA threatened legal action in March after a series of complaints about how the tour was handled.
Ticketmaster agreed to a host of measures to make pricing clearer and fairer.
Among them was the promise to let customers know at least 24 hours before a sale begins if tiered pricing will be used.
Meanwhile, Ticketmaster also agreed to make pricing clearer during online queues.
Plus, ticket descriptions will be clearer, so fans know what they’re paying for.
Meanwhile, fans were left fuming in October after trying to buy tickets to Bon Jovi’s tour.
Live music fans were forced to wait in long queues and were hit with higher prices in a move customers described as “daylight robbery”.
How to spot and avoid ticket scams
Do your homework:
Purchase tickets only through a legitimate and regulated platform.
If you are unsure of a website’s legitimacy, you can check it by using Get Safe Online’s Check by visiting getsafeonline.org/checkawebsite/.
Cover yourself:
Ensure platforms offer fan protection with a guarantee should anything go wrong.
Resist the hard sell and social media:
Getting in-demand tickets can feel like a race against time but don’t let individual sellers pressure you into a quick purchase.
Avoid buying tickets on social media where many sellers are unverified, increasing the risk of scams or counterfeit tickets.
Verify the venue and date:
If the event is taking place at a venue unknown to you, then confirm its existence through online maps and look for independent reviews.
Once you have done so, search the original live event announcement or schedule on the artist or team’s website to make sure dates and location align.
Price check reality:
If a deal seems too good to be true, it probably is.
Avoid suspiciously cheap tickets.
