UK music festivals and other live events affected by Covid-19 are protected by a government-sponsored £ 750m insurance scheme.
The new plan starts next month and runs through September 2022 to cover cancellation costs if events cannot legally take place due to government restrictions.
MP Julian Knight, Chair of the House of Commons Culture Selection Committee, said: “While it is a shame it has been too late for some this summer, this program will give the confidence the sector needs to plan and do.” invest in future events. “
More than half of this summer’s music festivals have been canceled, with Boomtown and Womad citing the inability to get adequate insurance as a factor in the preservation of their events.
In the new system, insurance companies will cover live events, but the government guarantees that all payouts will be funded.
The announcement was broadly endorsed by the live events industry, which has repeatedly sought assistance in handling cancellation issues.
Jamie Njoku-Goodwin, Head of UK Music Trade Association, said: “We are grateful to the government for listening to the industry’s calls and for resolving the market failure in the insurance industry.”
However, some groups fear it will not cover festivals and events that become uneconomical or have to be canceled when social distancing returns or artists are forced to isolate after exposure to Covid-19.
Greg Parmley, executive director of the industry association Live, told BBC Radio 4’s Today program: “The devil is in the details”.