NSW has announced new emergency funding for festivals

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NSW festivals with more than 15,000 people will receive emergency funding under new package to revive the ailing industry.
NSW festivals will receive emergency funding under new package.

The NSW Government has announced new funding and reforms for music festivals in the state.

It follows several cancellations of long-running festivals this year, including Splendour in the Grass and Groovin’ the Moo.

The State Government will hand out “emergency funding assistance” over two years, with eligible festivals able to access up to $500,000.

It’s part of a broader set of reforms intended to revive music festivals in NSW.

Festivals

Australia’s festival industry has struggled in recent years, due to the ongoing impacts of COVID-19 shutdowns, increasing operating costs, decreased ticket sales, and climate-related cancellations.

The national arts council, Creative Australia, found the average cost of running a music festival in 2022/23 was $3.9 million.

In a major report, Creative Australia said the cost of securing artists, paying staff, operating the festival, and insurance had increased. It found two in five festivals didn’t make money.

NSW

Several festivals across NSW have been cancelled since the start of the pandemic.

These include:

  • Splendour in the GrassGroovin the Moo
  • Falls Festival
  • Bluesfest

Bluesfest has confirmed it’s planning to go ahead with the festival next year, for the last time.

New funding

The NSW Government has announced a funding package to “weather headwinds that have led to numerous cancelled events.”

NSW-based festivals with a capacity of at least 15,000 could be eligible for $500,000 over the next two years to help with “rising costs”.

Night-Time Economy Minister John Graham said festivals have been “under intense pressure”.

Music Festivals Act

The Government has also launched a review of the Music Festivals Act, which sets out the rules for holding a music festival in NSW.

The review – which is not yet public – found the current legislation had resulted in higher regulatory costs for organisers.

The Government wants to make some changes to the legislation ahead of summer, including making Liquor & Gaming NSW the key decision maker on festival-related matters.

The Government will also scrap a requirement for festival organisers to develop a ‘safety management plan’, which has involved organisers paying for medical staff and policing.

Industry advocates – including the Australian Festival Association (AFA) – had criticised the regulation for burdening festival organisers with “unfair” costs.

Under the Government’s changes, organisers would also be able to appeal against any imposed costs from regulation if the festival’s “economic viability is under threat.”

Reaction

The AFA welcomed the changes as a “major victory” for festivals in NSW.

Spokesperson Mitch Wilson told TDA the proposed reforms were “groundbreaking” and welcomed the “clearer, more balanced regulatory process for festival organisers.”

Shadow Arts Minister Kevin Anderson told TDA the funding is a “drop in the ocean”.

He called on the Government to expand further support for the industry, including waiving more fees.

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