'Economically unviable': the impact of an extended lockdown on freelancers and institutions
Lucy Thraves
Tuesday, June 15, 2021
Last night, Boris Johnson announced an extension of lockdown until 19 July, raising alarm in the music industry as institutions struggle to operate at reduced capacity. But what does this mean for the music industry, and how should the government help?
The extension of social distancing measures in concert halls until mid-July is cause for great concern in the music industry, particularly as festival season approaches and it looks unlikely that large groups will be allowed to gather without social distancing in place.
Theatres, concert halls, and festivals are also in jeopardy, as reduced audiences are not financially viable for larger productions. Most shows need at least 70% of seats filled to break even.
John Gilhooly, director of Wigmore Hall, told CM that: 'Public health must come first, but it is very disappointing not to be able reopen to full houses from 21st June. It is economically unviable to promote concerts for socially-distanced audiences indefinitely.
'Should this crisis continue beyond late July, the government will need to look again at how it supports freelancers and institutions. We need honest and open dialogue and real action in the weeks ahead.'
Organisations across the music industry are calling on the government to provide increased support to institutions and freelancers as a result of the lockdown extension.
Jamie Njoku-Goodwin, chief executive of UK Music, said the government 'must immediately support the music industry to mitigate the impact of this delay by extending economic support, especially the Business Rate Relief scheme, furlough and SEISS, and by ensuring freelancers have access to the financial support they desperately need.'
He also pointed out the urgent need for a government-backed insurance scheme: 'Confidence will be at rock bottom within the sector after today – and so festival and event organisers desperately need that safety net from the government so they can plan with confidence and avoid financial ruin if the rules change again.'
These sentiments have been echoed by Deborah Annetts, chief executive of the ISM: 'Whilst public health concerns must be a priority, the announcement delaying the lifting of lockdown restrictions is another crippling blow to the music industry. Venues will experience financial loss as it means a further four weeks of reduced capacity audiences and many live events will be cancelled. We urgently need a government-backed insurance scheme to provide certainty for venues to reopen and improve the viability of live performance events.
'With over 40% of musicians not having received any financial support, and many more considering leaving the profession, it is imperative that the government implements measures to protect as many jobs and livelihoods within our £5.8bn music sector.'