March 20, 2017

Professor Waterson’s Independent Review fulfilled the requirement in the Consumer Rights Act 2015 to review consumer protection measures applying to the re-sale of tickets for recreational, sporting or cultural events in the UK through internet-based secondary ticketing facilities.

While the focus was on the online secondary ticketing market, the Review also examined how the primary ticketing market works and how issues encountered by consumers are influenced by the interaction between the primary and secondary ticketing markets.

The Government has now published its response to Professor Waterson’s Review, which was published in May 2016, accepting all recommendations in full.

The Government particularly welcomes what Professor Waterson says on ticket sellers adopting strategies to prevent automated ticketing purchasing by bots and botnets, but recognises that more may need to be done and is considering its options accordingly.

The Government also welcomes Professor Waterson’s comments on the need for routine reporting of suspected ticketing fraud. The Government notes the acknowledgement that if prices (for various reasons) are set at a below market clearing level, then the event organiser’s ticketing and venue control strategies need to take this into account, as otherwise there is an opportunity for operators in the secondary market to seek to capture the value added that the event organiser has effectively forgone.

The Government welcomes that through the Competition and Markets Authority, the Consumer Protection Partnership is acting on the proposal that the ticketing industry and consumer bodies should develop best practice guidance on the practical application of unfair terms legislation to events and primary ticket outlets and progress is being made. The secondary ticketing platforms need to follow this lead from other parts of the industry and the Government calls on them to do as Professor Waterson also proposed, and adopt clear principles on ticket speculation and the timing of resales.

The Government notes that Professor Waterson has not recommended further significant legislation, a ban on the secondary ticketing market, or a cap on resale prices. The Government accepts these and the grounds that Professor Waterson sets out as the basis for them, within an overall context of recommendations to improve the lot of the ticket-buying public. However, following roundtables with industry that included Professor Waterson, the Government notes in its response that views in relation to ticketing bots have moved forward (see item below).