The Chancellor, Rishi Sunak, has announced a Covid cancellation insurance scheme for the live events industry after months of industry leaders campaigning for more support for the sector.
Commercial insurers have, thus far, not provided cover for Covid-related cancellations. While the chancellor’s announcement is welcome, it comes too late for many events businesses and festivals that have been forced to cancel due to so much uncertainty surrounding insurance.
The scheme will support live events across the UK that are open to the general public – such as music festivals and business events. It will cover costs incurred in the event of cancellation due to the event being legally unable to happen due to Government Covid restrictions.
The live events sector is worth more than £70 billion annually to the economy and supports more than 700,000 jobs, including small businesses and the self-employed.
Chancellor of the Exchequer, Rishi Sunak said:
“The events sector supports hundreds of thousands of jobs across the country, and I know organisers are raring to go now that restrictions have been lifted. But the lack of the right kind of insurance is proving a problem, so as the economy reopens I want to do everything I can to help events providers and small businesses plan with confidence right through to next year.
“We have some of the best events in the world here in the UK – from world-famous festivals to your local fair. With this new insurance scheme, everything from live music in Margate to business events in Birmingham can go ahead with confidence, providing a boost to the economy and protecting livelihoods through our Plan for Jobs.”
The scheme will be available from September 2021 and run until the end of September 2022. More information on how to apply will be announced by the Government.