The UK government has delivered a landmark blow to ticket touts, officially announcing a ban on the resale of tickets for profit. This long-awaited move, described by Business Department Minister Kate Dearden as a 'no-brainer', is set to radically reshape the ticketing landscape and protect consumers from exploitative pricing.
The End of an Era for Touts
The new legislation, confirmed on Wednesday, will outlaw the practice of reselling tickets above their face value on specialist platforms and social media. This follows more than a decade of campaigning by music industry groups, consumer champions, and MPs. The decision was given final impetus just last week when Radiohead's Thom Yorke led a coalition of artists including Coldplay, Dua Lipa, and Mogwai in urging Prime Minister Keir Starmer to act.
Minister Dearden emphasised the cost-of-living context, stating, 'We all know someone who’s been ripped off. You work hard all week and you look forward to your favourite gig. When you see up to six times the price [being charged] on the resale market, people can’t afford that.'
A Lucrative Business Model Under Threat
The ban directly threatens the core business model of major resale platforms like Viagogo and StubHub. These sites have relied heavily on relationships with a handful of 'super touts', sometimes providing them with specialist tools to maximise sales. The profits from tickets sold at huge mark-ups are then shared with the platforms.
The financial impact has been immediate. Shares in StubHub Holdings tumbled about 20% – a loss of over $1bn in market value – since news of the UK ban broke. The government estimates that the new law could save consumers up to £112 million a year, or an average of £37 per ticket.
Platforms that facilitate face-value resales, such as Twickets, which allow fans to recoup their original cost or transfer tickets to friends, will be permitted to continue operating.
Enforcement and Industry Reaction
Enforcement will be handled by a strengthened Competition and Markets Authority (CMA). Resale sites found flouting the new rules face penalties of up to 10% of their global turnover – a figure that could amount to around $180 million for Viagogo's US parent company.
Opponents of the ban, primarily the resale platforms, argue that it will push consumers towards illegitimate platforms and fraudsters. They often cite a report suggesting fraud rates are higher in regions with resale restrictions. However, long-time campaigners like the FanFair Alliance have been sceptical, pointing out that the report in question was commissioned by StubHub itself and lacks comparative data.
Minister Dearden countered these concerns, stating, 'We’ve not seen any evidence [of increased fraud]. What we do know is that the current system is ripping off fans.' The government is understood to have consulted with overseas counterparts on this very issue.
While the implementation date is yet to be confirmed, the legislation marks a decisive shift from the stance of previous governments. The move has been hailed as a major victory for fans and artists alike, finally curbing a practice that has plagued the live events industry for years.
