A year without trading, a lack of government support and no sign of a recovery roadmap has left the business meetings and events industry on the ‘brink of collapse’.
The industry-wide survey, coordinated by the Production Services Association in late 2020, found that 72 per cent of the 1,700 companies and freelancers surveyed only had around three to four months of liquidity left before their businesses buckled.
The survey highlighted the precarious situation that the freelance community is in with more than half now predicted to be receiving less than the minimum wage as they rely on work in the events sector for at least 80 per cent of their earnings.
And the statistics don’t get brighter, as 61 per cent of those surveyed said that less than 20 per cent of their 2019/20 turnover was covered by Government support, including furlough payments, the Coronavirus Business Interruption Loan Scheme (CBILS) and Bounce Back Loans.
However, a further 30 per cent of self-employed workers in the industry said they had found themselves uneligible for any support at all. Only 17 per cent were qualified to apply for Universal Credit and 55 per cent of respondents were unable to apply for the Self-Employment Income Support scheme.
Simon Hughes, chair of the Business Visits & Events Partnership, whose members took part in the survey, said: “Our partner organisations, covering all the main sectors of the events industry, from business events to cultural events, have expressed their alarm throughout the last year.
“Now a whole industry sector is on the brink of collapse, and the results of this survey confirm our worst fears. While the Government may praise the holding of the G7 Summit this summer, COP26 in the winter and the Festival in 2022, the success of these events is likely to be severely impaired if no immediate support is given. It is now time for the government to act decisively and provide the help necessary to save the UK’s events industry”.
The research also found that the majority of those surveyed could not viably see events taking place for at least three months after any lifting of restrictions.
Despite sustainability being at the top of the agenda, in theory, 66 per cent of event organisers and agencies said they cannot run any of their events sustainably under existing Covid and social distancing regulations.
Andy Lenthall, general manager of the Production Services Association (PSA) said, “Every part of this supply chain is in crisis, every part of the supply chain needs support to ensure an events industry that is at the heart of economic recovery and future growth, especially at a time when our Government is promising to assume a new position on the world stage.”
A desire to travel led Holly Patrick to the business meetings and events world and she’s never looked back. Holly takes a particular interest in event sustainability and creating a diverse and inclusive industry. When she’s not working, she can be found rolling skating along Brighton seafront listening to an eclectic playlist, featuring the likes of Patti Smith, Sean Paul, and Arooj Aftab.
