Future trends in the night time economy

The Night Time Economy Summit drew together industry leaders, policymakers and experts to shape the future trends in the industry and ensure its long-term success.

Whilst the night time economy is at a crossroads, the creativity and resilience within the industry offer a promising path forward. One message was clear: collaboration will be the driving force behind its evolution.

From grassroots funding initiatives to devolved decision-making and new business models, transformative solutions are already taking shape. Here’s a look at the key trends that will not only sustain nightlife but allow it to thrive.

Collaboration is key for the industry to thrive

The Night Time Economy Summit underscored a crucial message: collaboration between decision-makers and industry leaders is essential for progress. As the largest summit to date, it brought together international experts to explore solutions to the sector’s ongoing challenges and opportunities.

Philip Kolvin outlined the NTIA’s strategic vision for the year ahead, emphasising the importance of global collaboration. He highlighted how international partnerships could offer valuable lessons for improving the sector. “We have so much to learn internationally. NSW for example, sets a shining example of how the will of people, creativity by our businesses, and authority of government can collaborate for the betterment of their NTE,” he stated.

But if we look closer to home, one region the sector can learn from is Bristol. The city’s Night-Time Economy Advisor, Carly Heath, was widely praised throughout the summit for her pioneering work. From Thrive at Night, which supports mental well-being, to Design the Night, fostering cross-sector collaboration, and the Women's Safety Charter, improving security for women at night, Bristol is setting a blueprint for the rest of the UK to follow and demonstrates how regional leadership can drive national change.

The ticket levy will be a lifeline for the grassroots scene

As Music Venue Trust put it, the introduction of the £1 ticket levy for grassroots music venues is the most significant shift in the UK music industry in over 50 years. With 125 venues closing in 2023 and one shutting down every two weeks in 2024, the industry is on the brink. The venues that remain open operate on razor-thin margins of just 0.48%—urgent intervention is needed.

While uncertainty remains over its implementation, George Fleming stressed the importance of swift action: “We need a combination of the ticket levy managed by government and public bodies. It needs to be backed up by public finances for venues that fall through the cracks. Can the industry regulate itself and spend the money? It can. But there needs to be enough money there to give proper support.”

Beyond national policy, Carly Heath is already taking matters into her own hands in Bristol, where she has proposed a levy that could generate £1 million annually for grassroots venues—a model that should be replicated nationwide.

This historic move will help safeguard the future of independent venues. However, without a deadline for it, the true extent of the benefits is unknown. The industry needs clarity, and it needs it now.

Devolution will achieve real change

The industry had high hopes following Labour’s election victory, but optimism quickly faded when the Autumn Budget failed to provide financial relief for hospitality businesses. Instead, it brought a reduction in business rates relief, an increase in National Insurance, and a higher minimum wage, piling further pressure on the sector. The solution? More devolved powers for local councils and night-time economy advisors.

This was a topic which dominated the panel at the summit with the night time economy advisors. Colin Neill voiced both support and concern, he said: “I’m a huge supporter of devolving, but it comes with its problems. As we devolve, we need the funding with the devolution as we won’t get a solution.”

Even internationally, the issue is pressing. Freek Wallagh from Amsterdam said: “I’m an adamant believer that the lowest decisions should be made at the lowest level possible, as different areas and neighbourhoods require different things. There will always be gaps when the government is making decisions, and it’s about making sure local councils fill those gaps.”

When Michael Kill asked the panel, what needs to be implemented to make your role easier? All three UK advisors gave the same answer:

More nightlife advisors and a Minister for Hospitality.

“We need to have a nightlife advisor in every local council,” Carly Heath added. “to think that we don’t have someone think about what happens when the sun goes down is ridiculous.”  

Venues are adapting to changing customer habits

Grassroots music venues have faced unprecedented challenges, but they continue to adapt. With 15% of UK adults now teetotal, up from 12% in 2018, and one in five 18-34-year-olds abstaining from alcohol, venues are evolving to match shifting habits.

Sophie Brownlee, Head of PA at Music Venue Trust, highlighted this resilience: “People are drinking less, they're changing the way they want to go out. But venues have adapted and have become social and educational spaces, they have diversified in their offerings. We need to recognise what communities lose when a venue shuts. But the appetite for going out and listening to live music hasn’t gone down."

Carly Heath reinforced this sentiment: “It’s about recognising that nightlife is a community, it’s a family, it’s got our backs.”