The UK Government has announced a 750 million euros insurance scheme designed specifically for the events industry to cover cancellations costs due to the coronavirus pandemic. The government has partnered with Lloyd’s to deliver the ‘Live Events Reinsurance Scheme’ as part of the treasury’s plan for jobs. The scheme will see the Government act as a reinsurer, guaranteeing that any pay-outs will be funded. The event companies will be able to avail the cover from September alongside standard commercial events insurance. Before the pandemic took hold, the UK events industry was worth more than 70 bn euros annually to the economy and supported more than 700,000 jobs, including small businesses and the self-employed. As the economy reopens, the reinsurance scheme will act as a sticking point for many event organisers.
In an official statement shared on twitter, chancellor Rishi Sunak said, “The events sector supports hundreds of thousands of jobs across the country, and I know organisers are raring to go now that restrictions have been lifted. But the lack of the right kind of insurance is proving a problem, so as the economy reopens I want to do everything I can to help event providers and small businesses plan with confidence right through to next year.”
He goes on to state that the UK has “some of the best events in the world”, and that the new scheme would allow them to “go ahead with confidence.”
The scheme will be available from September 2021 and run until the end of September 2022. It comes on top of the extensive support already given to the cultural sector, including the 2 bn euros Culture Recovery Fund (CRF), and the 500 m euros Film and TV Production Restart scheme which has seen 610 independent film and TV productions and more than 50,000 screen sector jobs supported by the scheme in the last 12 months.