HM TREASURY LOSES AN ESTIMATED £129M EACH YEAR AS A RESULT OF FOOTBALL TICKET RESALE RESTRICTIONS

Seatwave research says fans pay too much and there is no VAT collected, calls on government to liberalise football ticket resale laws

14 April 2011 - LONDON - New research, released today by Seatwave.com, estimates the Treasury is being deprived of £129m per year due to the lack of a legal and transparent football ticket resale mechanism.

 

Currently, the resale of England and Premier League football tickets is prohibited in England and Wales as part of the 1994 Public Order Act, which was designed to limit hooliganism through the segregation of fans. However, new research from Seatwave shows that as a result of these restrictions, millions of pounds is lost in VAT each year through tickets sold on the black market while the threat of hooliganism has largely subsided.

 

Every year an estimated 4.7 million Premiership and England football tickets are resold in the UK on the black market, and with the total ticket value in excess of £562m, £129m is lost from unpaid VAT.

 

The research from Seatwave shows that the Government could provide fans access to the best football in the world in a safe and secure environment and at market-based pricing while delivering real value to the Treasury through the liberalisation of football resale laws.

 

Joe Cohen, founder and CEO of Seatwave, commented: "The current restrictions against football ticket resale have created a black market where fans have neither protection against dodgy sellers or pricing power.  Seatwave's proposal would provide football fans with great access to more games and be a boon for VAT collection at a time when government has nothing but lint in its purse."

 

Seatwave customers have successfully exchanged more than 1 million tickets for concerts, other sporting events and cultural events through its market-leading ticket exchange, www.seatwave.com.  Every purchase on Seatwave is covered by TicketIntegrity™ which provides a 100% guarantee that customers get exactly what they bought.

 

"There are a number of fundamental issues with the way that tickets for sports events are distributed and resold in the UK. This is an issue that spans football, rugby, cricket and, most visibly, the Olympics.  In many cases the regulations simply encourage illegal touting.

 

"At Seatwave, we are advocating a transparent, floating price exchange for all sporting events, which would provide fans with a clear, fair and simple way to exchange sports tickets in exactly the same way they are able to for concerts. We are calling on the government and the FA to review its position on ticketing to enable a better service for fans and ensure VAT is paid to the Treasury," added Cohen.

 

-ENDS-

 

For more information please contact:

 

Charlotte Hastings

E: Charlotte.hastings@sevenhillsgroup.co.uk

T: +44 (0)207 199 2200

 

Henrietta Walsh

E: Henrietta.walsh@sevenhillsgroup.co.uk

 

 

About Seatwave

Seatwave is Europe's leading online fan-to-fan ticket exchange service offering tickets for concerts, theatre, sports and other live events. Seatwave was founded by Joe Cohen, formerly of Match.com and Ticketmaster, in May 2006 and began online trading in February 2007.