New Report Warns of Rising Costs and Urgent Need for Investment in British Theatre

The Society of London Theatre (SOLT) and UK Theatre have released their annual “State of British Theatre in 2025” report, revealing record growth in audience numbers and economic impact, alongside escalating financial and operational challenges.

According to the report, in 2024, “members of the Society of London Theatre and UK Theatre welcomed over 37 million audience members, with the West End alone surpassing 17.1 million attendees, and generating more than £1 billion in revenue for the first time in history.” Regional theatres also reported a “4% increase in occupancy since 2019 – evidence not just of recovery, but of renewed and sustained growth.”

However, the report cautions that these positive headlines “mask mounting challenges.” It notes, “28% ran a deficit in 2023–24 and 32% project a shortfall this financial year. The margin between success and survival is narrowing.” Theatres, it says, “operate on exceptionally fine margins,” with nearly one in three at risk of running a deficit.

The economic impact of theatre remains significant. The report finds that “for every £1 spent on a ticket, an additional £1.40 is spent in surrounding shops, restaurants and hotels—generating £1.94 billion in added value to local economies each year.” Additionally, “for every £1 of public investment, it returns over £11 to the Treasury—a exceptional return now jeopardised by rising costs, ageing infrastructure, and declining public support.”

Despite public perception of high prices, “the majority [of UK theatre tickets] were sold for £39.50 or less. Even in the West End… most tickets were sold for £56 or less, with over a quarter priced under £35 and fewer than 4% exceeding £150. Since 2019, the average West End ticket price has actually fallen by 5.3% in real terms. Outside London, 99.7% of tickets were priced below £100.”

Yet the cost of presenting theatre is rising quickly. The report states, “94% of producers expect staffing costs to rise as a share of income, and 75% foresee higher energy and utilities bills. Meanwhile, many of the UK’s theatres—often historic and central to their communities—are in urgent need of investment. One in five venues requires at least £5 million over the next decade simply to remain operational. Without substantial capital funding, nearly 40% could close or become unusable.”

The sector also faces a workforce skills shortage. Nearly half of theatre leaders (48%) report that “new hires lack the necessary skills—particularly in technical roles—creating operational challenges and threatening the sector’s long-term sustainability.”

SOLT and UK Theatre are calling for immediate action. “If we are to sustain the UK’s global leadership in theatre for decades—and centuries—to come, we need not only the resilience and ingenuity of our members, but renewed support from local and national government, Arts Councils, and private funders,” wrote Co-CEOs Claire Walker and Hannah Essex in the report’s foreword.

The report concludes, “Theatre is one of the UK’s greatest success stories—delivering cultural, social, and economic value across the country. With renewed public investment and a shared vision for the future, it can continue to inspire, educate, and connect communities for generations to come.”

The full State of British Theatre report is available from the Society of London Theatre and UK Theatre.