
Ed Sheeran | Photo by Drew de F Fawkes via Wikimedia Commons
UK CMA Backs Ticket Resale Reforms, Despite Black Market Risks
The UK’s Competition and Markets Authority (CMA) has offered its support to government efforts to add strict new regulations to ticket resale marketplaces, issuing the findings of its recent consultation on the industry this week. The regulator offered support to the potential imposition of blanket price caps on the ticket resale market, though it cautioned the government on the potential for problems with that approach.
The authority’s newly released consultation response details its history of enforcement actions in the sector, outlines pathways for more robust regulation, and highlights the risk that strict price caps could drive fans into black market channels.
READ MORE: Consultation on the resale of live events tickets (CMA.UK.GOV)
UK’s Labour government promised strong measures directly targeting ticket resale in the months leading up to the most recent election, including price caps.
“We are taking action to strengthen consumer protections, stop fans getting ripped off and ensure money spent on tickets goes back into our incredible live events sector, instead of into the pockets of greedy touts,” Culture Secretary Lisa Nandy told the BBC. “This has been going on for years, it’s been fleecing fans, and we say time is up for ticket touts, enough is enough.”
In a separate finding, also issued this week, the CMA pushed for changes to Ticketmaster’s “dynamic” ticket pricing practices as well, though it is unclear whether or not the government intends to take meaningful action on the price surging that has become so common on the primary ticket marketplace. Consumer advocates have pointed out that issuing strong regulatory control on the secondary market without meaningful action taken against the primary market will only harm consumers.
“The secondary market has a vital role giving fans a means to attend events they might have missed when tickets first went on sale and helping people who no longer need their tickets get a good deal,” says CCIA Senior Director Matthew Sinclair.
“Draconian regulation, targeting only the secondary market, will only mean more tickets changing hands in informal settings without the same protections that exist in proper marketplaces. Ministers should address legitimate concerns with a holistic approach that encourages the original sellers of tickets, secondary marketplaces and others involved to all do their bit to make buying and selling tickets an even fairer and safer experience.”
A Lengthy Industry-Fueled Fight to Outlaw Independent Resale
Similar to the massive lobbying effort driven by Live Nation Entertainment in the United States, the UK has seen major efforts to eliminate independent ticket resale marketplaces ability to operate legally in the country over the prior decade. Organizations such as the “Fan Fair Alliance” have fueled a major media narrative that all ticket resale is driven by greed and should be made illegal in favor of capped resale marketplaces – while that organization’s founder Harry Magee is a director of Twickets – a capped resale marketplace which stands to benefit enormously from the potential price caps.
Ticketmaster, which also operates a price-capped resale marketplace in the UK and would benefit through regulations that outlaw its resale competition while continuing to allow it the opportunity to collect fees on the same tickets being sold and resold through its systems multiple times, also backs the potential price cap rules.
Key Findings and Recommendations in the CMA Report
The CMA underscored its commitment to curbing unfair practices and applauded recent gains in transparency made by the two largest “uncapped” resale platforms, viagogo and StubHub. According to the watchdog, those improvements include clearer seating and price information, better refund guarantees, and a reduction in misleading pressure-selling tactics. However, the CMA maintains that concerns persist—most notably, the prevalence of professional “touts,” who snap up tickets to high-demand events for resale at hefty markups.
Drawing on its ongoing enforcement work, the CMA proposed a combination of measures to bolster consumer protection:
- Licensing of Resale Platforms: The authority reiterated its 2021 call for a dedicated regulatory function to oversee secondary ticketing websites. This would ensure platforms are accountable for adhering to consumer law and could help tackle persistent issues such as speculative selling and bulk-buying by professional resellers.
- Platform Liability: The CMA suggests placing responsibility on platforms to verify correct ticket details and prevent the listing of more tickets than a seller can legally buy on the primary market.
- Price Transparency: Primary sellers would be required to make the face value (including mandatory fees) clearly accessible so that any resale price—if capped—could be accurately compared.
Potential Downsides to Price Caps
While recognizing the government’s goal of preventing “excessive resale pricing,” the CMA warns that certain approaches may backfire:
- Black Market Shift: A strict cap on resale prices could prompt sellers to circumvent the rules by taking their business to unregulated channels—such as social media and “pop-up” resale sites—offering fewer protections for fans.
- Rising Platform Fees: Even under caps on ticket prices, platforms could impose higher fees on buyers or sellers, pushing overall costs back up and diluting potential consumer benefits.
- Reduced Competition: The CMA cautions that if primary sellers impose exclusive resale routes, price caps might end up reinforcing a monopoly-like situation in the secondary market. That could limit consumer choice and increase reliance on a single authorized platform.
Encouraging Continued Oversight
The authority highlights the importance of “prompt and effective enforcement” to guard against noncompliance. It also recommends ongoing market monitoring if price caps are introduced, allowing regulators to identify any unexpected shifts—such as tighter resale restrictions or the emergence of off-platform ticket touting.
Broader Context in Ticketing
For years, the secondary ticketing market has been under scrutiny for practices ranging from automated bot purchases to the high markups charged for in-demand events. The CMA’s interventions have led to a series of court-enforced changes, yet officials acknowledge that touts remain active and creative in navigating legal grey areas.
Industry advocates argue that resale channels offer valuable flexibility for fans who can’t attend events, while consumer groups push for curbs on profiteering. The CMA’s latest response attempts to strike a balance between open resale markets and stronger consumer safeguards—ultimately calling for a “proportionate, targeted, and cost-effective” policy framework that avoids punishing lawful resellers while closing loopholes for those engaged in unscrupulous practices.
The UK government is expected to review the CMA’s comments, alongside other stakeholder feedback, as part of its ongoing policy process. A formal decision on whether to legislate additional controls—including a potential cap on resale prices—has yet to be announced.