Maintaining the higher rate of Theatre Tax Relief and reintroducing a 5% VAT rate for live performance are among a series of asks from industry bodies to the government ahead of its March 2023 Budget.
The Society of London Theatre and UK Theatre have launched a Thriving Theatres Plan, which sets out priority areas of focus for the sector and was presented at a recent All-Party Parliamentary Group for Theatre meeting on February 21.
It is described as a "blueprint" for theatres in the UK "to raise the profile and impact of theatre with governments both here and abroad".
The priority areas listed in the plan include supporting growth and economic activity in the theatre sector by maintaining Theatre Tax Relief at the higher rate of 45/50% and reintroducing a 5% VAT rate on tickets to live performances.
It also calls on the government to promote a sustainable theatre economy by reducing energy consumption and to support people working in and getting into the sector. Stipulations relating to the latter include honouring a pledge to provide a £240 million arts premium for secondary schools, improving the Creative Worker visa scheme and helping older, skilled workers move into theatre by increasing the visibility of mid-career opportunities in theatre.
It also calls for a commissioner for freelancers and the creation of audience incentives and promotions that encourage participation in the arts, including funding national campaigns to drive attendance, as well as support for the development and delivery of touring productions.
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Claire Walker, co-chief executive of Society of London Theatre and UK Theatre, said: "Commercial uncertainty caused by the stop-start nature of the pandemic and rising inflation have hampered the recovery of this £2.4 billion sector, which supports 205,000 jobs around the country. Maintaining the higher rate of TTR, and allowing the inclusion of marketing spend, would drive economic, cultural and social growth in communities around the UK.
“Against a challenging economic backdrop, if the chancellor were to commit to this hugely positive step of maintaining the higher rate of relief, theatre organisations will be empowered to create new productions for 2023 and beyond, in turn creating jobs, increasing foreign investment, stimulating further economic activity, and putting tax returns back into the exchequer."
Walker added: "In light of the cost-of-living crisis, reducing VAT can ensure that theatres can help keep ticket prices down despite rising costs."
Giles Watling, chair of the APPG for Theatre, said: “The Thriving Theatres Plan is a very helpful blueprint for theatres in the UK and our international partners to raise the profile and impact of theatre with governments both here and abroad.
"I, and parliamentary colleagues on the APPG, look forward to working with the Society of London Theatre and UK Theatre to deliver on their ambitions, specifically securing the higher rate of Theatre Tax Relief."
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