Stewart Goldsmith is a restructuring and turnaround professional at Leonard Curtis. As the UK turns the heat up on festival season, he considers the business challenges of hosting live events – from Glastonbury glory to festival fatigue.

The UK’s festival and live entertainment sector was reportedly worth £6.1bn in 2023 and remains a cultural and economic powerhouse.

We see major events like Glastonbury continue to sell out, while high-profile tours such as Oasis’s Live ’25 and Taylor Swift’s Eras Tour are breaking records and reinforcing the industry’s strength. However, beneath this success lies growing strain, especially for smaller festivals and grassroots venues.

There are rising operational costs, up 40%, driven by inflation, Brexit, and post-COVID recovery, placing intense pressure on event organisers.

Energy, staffing and sanitation expenses are leading to planning disruption with at least 20 UK music festivals having been cancelled, postponed or placed on hiatus this year alone.

These include both niche and mid-sized events, further highlighting the vulnerability of independent organisers. Despite these challenging conditions, there is a festival happening somewhere in the UK virtually every weekend this summer, proof of both the public’s appetite for live experiences and the perseverance of the industry.

But behind the scenes, many organisers are walking a financial tightrope, operating at reduced margins and gambling on weather, ticket sales and sponsorship just to break even.

The fan cost dilemma: Pricing, resale and access

Ticket price hikes are also becoming a flashpoint. Glastonbury’s 2025 tickets rose 26% to £340, prompting concern with consumers who also want value for money.

If, like me, you were sat online queuing for Oasis tickets on a Saturday morning you will appreciate the fan backlash to £150 standing tickets, ‘dynamic’ pricing issues and the £300-plus resale prices. Even Taylor Swift’s $2.2bn-grossing global tour faced criticism over ticket costs inflated by the resale market.

Worryingly, in a cost-of-living crisis, fans are increasingly relying on Klarna and similar online payment plans to afford tickets – adding to growing personal debt.

In a fiercely competitive market, major promoters such as Live Nation, which holds a 23% share of the market, continue to secure top headline acts years in advance.

Smaller festivals are forced to compete for niche audiences. Oasis’s Live ’25 Tour sold 1.4m UK tickets and generated £240m – reportedly exceeding demand even for Taylor Swift’s eight Wembley shows, despite her commanding 1.5 times more global search traffic.

As consumer attention and budgets are funnelled toward blockbuster tours, the risk of oversaturation intensifies. With one in five consumers planning to increase their spending on live events this year, the number of options may now exceed audience capacity.

Weather, ethics and the climate of concern

We have seen that the weather has become a crucial factor in event success. The UK’s famously changeable summer conditions have already caused major problems: heavy rainfall in previous summers led to logistical failures, site damage and sharp drops in walk-up ticket sales.

In contrast, the current spell of warm, stable weather has lifted confidence and boosted last-minute bookings. But the long-term risk remains high. Organisers must now account for climate volatility in their budgeting and infrastructure plans, investing in weatherproofing and contingency measures to avoid revenue shocks.

Environmental and ethical concerns are beginning to weigh heavily with consumers. UK festivals generate 25,800 tonnes of waste and 22,876 tonnes of CO₂ annually and surging attendance has stalled progress toward halving those impacts by 2025.

Gen Z consumers are increasingly eco-conscious, with the majority willing to pay more for items such as locally sourced food, carbon offsetting and for water conservation.

Barclays’ 2024 withdrawal from Download and Latitude – reportedly due to ethics protests – shows how values now affect sponsorship viability. Oasis’s backlash over dynamic pricing and the UK government’s ongoing investigation into Ticketmaster further underscore the pressure on promoters to align with the general public’s sentiment.

Taylor Swift, notably, opted out of dynamic pricing, reinforcing her brand’s focus on accessibility and fan trust.

Brexit has exacerbated staffing shortages, particularly among skilled European technical crews, while pay for UK freelancers remains stagnant in spite of rising demands. Ongoing supply chain issues have inflated equipment and logistics costs.

There is a general growing consumer expectation around digital experiences such as mobile ticketing and contactless entry, which could reduce staffing needs but requires upfront investment in tech.

Protecting consumers has become essential

Despite these pressures, the demand for festivals remains strong. It has been reported that 92% of UK festivalgoers plan to attend an event this year, and one in five expects to spend more. However, risks for consumers are mounting. Social media scams and resale fraud have surged, prompting official warnings to use only trusted platforms.

Protecting consumers has, therefore, become essential and attendees are advised to book tickets using credit cards, which offer financial protection. Likewise, festivalgoers should plan travel and accommodation cautiously, e.g. avoiding non-refundable hotel deals to avoid being hit in the pocket if an event is cancelled due to weather, illness or other disruptions.

Flexible booking policies, travel insurance and verified ticket platforms can significantly reduce these risks and go a long way toward restoring consumer confidence in an unpredictable market.

Adapting to survive: The industry’s next move

To secure profitability and long-term stability, festival operators are deploying several strategies. Effective cost control, including long-term supplier contracts and resource sharing between events, can protect margins.

Tiered ticket pricing, offering lower-cost options alongside VIP experiences, allows festivals to serve diverse audiences without alienating price-sensitive fans

Smaller festivals must double down on their differentiation. Emphasising unique identities through niche genres, local acts or themed experiences which should help attract audiences.

Targeted, low-budget digital marketing is proving more efficient than traditional campaigns. Local partnerships, regional storytelling and culturally resonant programming can also draw both footfall and media interest.

Revenue diversification is another key pillar. With a reported 49% of consumers willing to spend more on premium experiences, organisers are expanding merchandise, food and beverage offerings.

Oasis have blazed a trail here with £400m target sales from merchandise and pop-up shop revenue. Smaller festivals can follow suit by offering curated retail and exclusive brand collaborations, securing sponsors aligned with the festival values and exploring hybrid festival models which combine in-person and livestreamed access.

Technology has a key role to play. Digital ticketing, contactless payments and AI-driven personalisation should not only streamline festival logistics but also improve customer satisfaction. Past problems such as the bot-driven chaos seen during Oasis ticket sales will make investment in secure, scalable ticketing platforms essential. Smaller events will need to partner with trusted providers to avoid reputational and financial fallout.

The sector is rallying together for further support from government, particularly a VAT reduction from 20% to 5% – a move that could help stabilise the industry and prevent further losses. The sector is also proposing a £1 levy on large-scale shows which could be redirected to fund grassroots and community events, strengthening the entire ecosystem.

Despite real and growing challenges, the UK’s festival and live entertainment industry is projected to generate £4.8bn this year. Its survival and future success will depend not just on scale or star power, but on agility, innovation, meeting growing ethical standards and audience expectations.

Whether you’re a stadium tour operator or an independent field-stage organiser, the priorities are the same: protect consumers, control costs, embrace sustainability and deliver meaningful, memorable experiences.