Latest News

Back to Latest News back

 

LPA calls for Business Interruption Fund to protect entertainment sector against future COVID-related shutdowns

LPA calls for Business Interruption Fund to protect entertainment sector against future COVID-related shutdowns
December 9, 2020

A new fund to help shield Australia’s live performance industry from future COVID-19 lockdowns is being proposed to prevent further financial damage to the sector and provide confidence as theatres and events re-open across the country.

Live Performance Australia (LPA) has developed the plan for a Business Interruption Fund to provide greater assurance against the risk of disruption to live performance productions or events due to the reimposition of public health restrictions to manage COVID-19 outbreaks or clusters.

The pandemic has taken a devastating toll on the live performance industry during 2020, causing an estimated $24 billion of lost economic output and almost $11 billion in lost industry value. It has also seen 79,000 jobs cut - or around two thirds of the workforce.

While Australia has made great progress in fighting the spread of the virus and is now reopening businesses, venues and events, there will continue to be the possibility of restrictions or shutdowns in the future until such time as a vaccine is widely available and taken up.

Advising that significant commercial risks were involved with scheduling new events or theatre seasons given the possibility of targeted public health restrictions being reimposed, LPA Chief Executive, Evelyn Richardson stated “the live performance industry was the first to be completely shut down by public health restrictions, and remains among the most vulnerable to future closure due to new outbreaks said.

“Live performance businesses have little or no financial reserves to survive another shutdown, and this risk will hold back the industry’s reactivation and its contribution to our economic recovery."

The proposed Business Interruption Fund (BIF) will help increase industry confidence to reactivate live events, by providing indemnification for costs if a live event is cancelled, postponed, or negatively affected by the re-introduction of government restrictions, or a slower than anticipated easing of government restrictions.

The industry faced significant insurance premiums for events prior to COVID-19. These premiums are now increasing, but producers and promoters are also not able to insure against COVID-19 impacts now that it is a known risk.

LPA’s detailed plan has been shared with the Commonwealth, state and territory governments. Only Western Australia currently has a business interruption scheme in place.

The LPA proposal would assist live event promoters and theatre producers that are impacted by a range of scenarios and would solely cover costs or losses arising from COVID-related issues.

The level of support would be capped and participants in the scheme would be required to pay a fee calculated at a percentage of the level of coverage required.

Richardson said the LPA proposal for the live performance industry was modelled on a similar plan the Commonwealth Government had put in place for the screen industry.

Established in 1917, LPA has a clear mandate to advocate for and support policy decisions that benefit the sustainability and growth of the live performance industry in Australia.

Images: Pippin at Sydney's The Lyric is one of the first major performances to open in the post lockdown environment (rop, courtesy of The Lyric) and LPA Chief Executive, Evelyn Richardson (below).

Related Articles

18th November 2020 - Live Performance Australia releases updated Ticketing Code of Practice

11th November 2020 - Art experience promoter slams Governments for not releasing committed arts funding

6th November 2020 - Major Promoters commit to Australian Festival Association initiative to revitalise the sector

28th October 2020 - Eventbrite delivers tools designed for COVIDSafe in-person live events

23rd October 2020 - Survey shows over 400 Australian Live Music Businesses face imminent closure

22nd October 2020 - Festival promoters call for Federal Government insurance scheme

14th October 2020 - Live entertainment industry counts the cost of COVID

8th October 2020 - Live music venues in NSW unite as part of Save Our Stages campaign

10th August 2020 - Live Performance Australia releases comprehensive COVIDSafe guidelines

7th August 2020 - Live Performance Australia commends Western Australian Government for shared risk funding

25th June 2020 - Arts and entertainment funding package welcomed by Live performance industry

4th June 2020 - Live Performance Australia’s $345 million plan to restart and rebuild the entertainment industry

5th May 2020 - Live Performance Australia slams NSW Government’s lack of support for cultural sector in crisis during Coronavirus crisis

16th April 2020 - ABS survey shows ‘arts and recreation’ businesses as being hardest hit by Coronavirus pandemic

4th April 2020 - LPA believes funding still not enough to prevent decimation of live performance industry

23rd March 2020 - LPA seeks targeted financial stimulus for live performance industry

17th March 2020 - LPA calls for $850 million live performance support and stimulus package

13th March 2020 - Live Performance Australia calls for urgent government action to protect $2.5 billion industry

11th March 2020 - Live Performance Australia release Coronavirus statement


Asking a small favour
We hope that you value the news that we publish so while you're here can we ask for your support?

The news we publish at www.ausleisure.com.au is independent, credible (we hope) and free for you to access, with no pay walls and no annoying pop-up ads.

However, as an independent publisher, can we ask for you to support us by subscribing to the printed Australasian Leisure Management magazine - if you don't already do so.

Published bi-monthly since 1997, the printed Australasian Leisure Management differs from this website in that it publishes longer, in-depth and analytical features covering aquatics, attractions, entertainment, events, fitness, parks, recreation, sport, tourism and venues management.

Subscriptions cost just $90 a year.

Click here to subscribe.

 

supplier directory

The Complete Guide to Leisure Industry Products & Services.

See the directory see all

Tim Batt Water Solutions

Tim Batt Water Solutions are at the very forefront of the commercial aquatic business in Australia, with over 30 years specific experience supplying and installing chemical control and dosing…

read more

Aquatics / Environment / Recreation / Technology / Venues

 
 

Hadley/Series Australia Pty Ltd

Hadley Australia and Series Australia Pty Ltd are the leading quality theatre chair manufacturers in the southern hemisphere. The businesses work closely with architects, interior designers and…

read more

Arts / Culture / Design / Entertainment / Venues

 
 

HRMWEB

At easyemployer we've come up with a software solution that manages one of your most important, and often most costly, business resources - your staff. We are helping 100s of clients to…

read more

Finance / Fitness / Technology

 
 

Perfect Gym

Perfect Gym Solutions is a software as a service (SaaS) solution purpose-built to service the fitness industry, with over 1000 clients servicing over 2 million gym members across 40 countries making…

read more

Access / Fitness / Marketing / Recreation / Technology

 
 

Intelligenz

Intelligenz provides Leisure Management Software for managing all your Program Registrations, Facility Bookings, Membership Sales and POS Transactions; including detailed Reporting, automated…

read more

Access / Billing / Finance / Marketing / Technology

 
 

AUSTRALIAN WATERSLIDES AND LEISURE

A leading designer and manufacturer of innovative waterslides and attractions, Australian Waterslides and Leisure (AWL) is also able to advise clients in the areas of concept and design, feasibility…

read more

Aquatics / Attractions / Play / Waterparks

 
 

Clubware

Clubware’s online gym software is not your run of the mill management system. It has been carefully designed to incorporate all the elements that a fitness club would need. How did we do that?…

read more

Access / Billing / Fitness / Recreation

 
 

Pricemark Pty Ltd

Pricemark supplies a wide range of custom branded membership & RFID access products for the Health & Leisure Industry. 

read more

Access

 
 
 
 

get listed with our suppliers directory

Get your business noticed in our targeted directory. Viewed by 10,000 industry professionals per week!

list your business