UK Government Announces Ban on Ticket Resale for Profit: Impact on Viagogo and StubHub
The government is set to announce new regulations that will ban the resale of tickets for profit, targeting touts and platforms like Viagogo and StubHub. Previously, there were considerations to allow reselling at a maximum of 130% of face value, but now sellers, including touts and consumers, will only be able to charge the original ticket price. This decision follows a plea from artists like Radiohead and Coldplay to crack down on touts. Resale platforms will still be allowed to charge fees on top of the ticket price, with limits on these additional charges yet to be determined. The legislation will also cover social media sites to prevent unregulated ticket sales. Sellers will be restricted from offering more tickets than they originally purchased, and a licensing system for resale companies will not be implemented. Resale platforms will be held accountable for ensuring sellers comply with the law, enforced by the Competition and Markets Authority. There are concerns about the future of platforms like Viagogo and StubHub in the UK if they can no longer profit from high mark-ups. Face-value ticket resale sites like Twickets and Ticketmaster's internal exchange system have emerged as alternatives to for-profit platforms. The ticket resale industry's practices, including touts making significant profits at fans' expense, have been exposed by media outlets like The Guardian.