Sports organisations need to begin preparing now for new legislation aimed at stamping out the touting and unauthorised reselling of tickets, according to national law firm Clarke Willmott.
The UK government is poised to introduce a crackdown on ticket touting, with plans to make the unauthorised reselling of tickets for major events a criminal offence.
Nonetheless the draft bill will be subject to consultation before being implemented, which has caused widespread disappointment in the sports and events industry given the additional delay.
Millie Bradshaw
In the recent King’s Speech, the government confirmed its intention to bring forward a draft Ticket Tout Ban Bill, which will cap service fees charged by resale platforms and make it illegal to resell tickets for live events at more than face value.
The initiative is part of a strategy aimed at positioning the UK as the preferred destination for hosting future international sporting events.
The government has already pledged its support for bids to host the World Athletics and Para-Athletics Championships in 2029. It is also considering potential bids to host the Olympic and Paralympic Games in the 2040s, as well as golf’s Ryder Cup and Solheim Cup in the 2030s.
The affordability of tickets and transport for this summer’s FIFA World Cup, co-hosted by the US, Canada and Mexico, has drawn widespread criticism. FIFA president Gianni Infantino recently said he will “personally bring a hot dog and a Coke” to anyone who buys a World Cup final ticket for $2 million.
Millie Bradshaw, solicitor at national law firm Clarke Willmott, which advises organisations on ticketing structures, resale arrangements, commercial partnerships and regulatory compliance, says the new legislation would also make it unlawful to resell tickets for concerts, theatre, comedy and other live events, for more than their original face value.
Under the proposals, tickets may only be resold at the original ticket price, plus any unavoidable charges such as service fees. Services fees would also be capped and resale platforms would have a duty to monitor listings and enforce the cap.
“Although it is wide in scope, the proposed UK legislation will not apply to all areas of sport,” says Millie Bradshaw.
“Football will remain outside the new regime, as football ticket sales in the UK are already governed by the Criminal Justice and Public Order Act 1994, which makes it an offence to offer or sell a football match ticket without authorisation.
“The position may also differ for Wimbledon debentures and for charity or fundraising events, which the government has indicated could fall within limited exemptions once the legislation is finalised. For other sporting events, the new rules will apply.
“Although the legislation is not yet in force, sports organisations should begin considering how the proposed changes might affect their current systems and commercial arrangements. Early preparation will help ensure a smooth transition when the rules are implemented.”
Millie Bradshaw says that in future sports bodies may need to update ticket policies to reflect the restrictions on resale, while existing terms and conditions may require amendments to set out permitted resale routes. Clearer communication may be required to help fans understand how they can legitimately resell their tickets under the new regime.
“Any contracts with authorised resale platforms may need to be reviewed to determine whether those arrangements can meet any upcoming monitoring or enforcement obligations. And when planning future agreements, organisations may wish to prioritise partners offering strong anti-bot and identity verification measures.
“The introduction of resale restrictions can drive activity towards unregulated markets, so sports organisations may wish to factor in potential increases in counterfeit tickets or black-market activity, and plan appropriate safeguards.
“These changes mark a significant shift around ticket prices and early preparation will help sports organisations adapt confidently when the new rules take effect.”
Clarke Willmott is a national firm with offices in Birmingham, Bristol, Cardiff, London, Manchester, Southampton, and Taunton.
