Recommendation 15

To further combat the negative effects of closure, and to stimulate long-term recovery, the Government should introduce other fiscal measures. We recommend the cut in VAT on ticket sales for theatre and live music be extended beyond January 2021, for the next three years. The Government should increase Theatre Tax Relief to 50% for the next three years and broaden the definition of ‘core expenditure’ in line with the industry’s proposals. It should introduce a Music Tax Relief, modelled on existing reliefs such as the Orchestra Tax Relief. The Government should also develop a system to save ‘Assets of Cultural Value’ along the lines of the regime for ‘Assets of Community Value’. This would allow a moratorium on the sale of a building while stakeholders seek an alternative bidder to maintain the asset as a cultural business. The Government should also build on recent ‘Agent of Change’ planning reform to protect cultural assets by tightening planning regulations around change of use from venues or music studios to residential and other developments.