Two of Melbourne’s most iconic reside music venues are dealing with a rocky future after their proprietor was hit with insurance coverage premiums hikes of greater than 500 per cent.
Cherry Bar and Yah Yah’s proprietor, James Young, informed the Nine Network’s A Current Affair that the will increase had been a significant menace to his business, one which risked leaving him hundreds out of pocket.
Having hosted musicians such because the Red Hot Chili Peppers’ Chad Smith, Cherry Bar’s insurance coverage has climbed from $400 per week final 12 months to $2500.
Matters are even worse over at Yah Yah’s, a nightclub in Melbourne’s inside north, the place insurance coverage premiums have climbed from $600 to $3500 per week over the previous 12 months.
“This issue is now the greatest threat to live music in Australia that we’ve seen in decades, and if it’s not addressed now we’ll lose 30 per cent of local music venues in Australia,” he mentioned.
This enhance comes regardless of Mr Young having not made a declare in 23 years.
“Our broker came back to us with the figure we were going to have to pay and we said ‘this has got to be a joke’,” he mentioned.
“It’s outrageous.
“It’s just unfair that last year’s profit is paying this year’s public liability insurance.”
Australian Live Music Business Council board member Andrew Bassingthwaighte mentioned the elevated prices might see venues shut early or shut down totally.
He informed A Current Affair the worth hikes had been pushed solely be “a very small number” of venues which have made insurance coverage claims.
“Unfortunately they’re very large claims,” he mentioned.
“Where there is a large claim there is a perception of risk and that will be applied across the industry.”
Mr Bassingthwaighte mentioned the Council had been knowledgeable of 3-400 native music venues which might be dealing with closure in consequence.
“Rather than close they might just restrict the amount of live music they play at certain times … (likely) closing before midnight,” he mentioned.
“If you’re a new and upcoming band, you need a small venue that’s in your local area so you can start practising and display your wares to the industry.”
Mr Young mentioned small reside music venues akin to Cherry Bar had been an integral a part of the journey to stardom for homegrown musical expertise.
“Anyone who’s made it big has started on the small stage, you can go back to AC/DC, the Divinyls, Midnight Oil, INXS,” he mentioned.
“What I’m really worried about is if it went up 600 per cent this year, what’s it going to go up next year?
“Because if it goes up just 50 per cent, we’re all screwed.”
Mr Young mentioned given the current insurance coverage premium hikes his accountants would have him closing each venues “next week”.
“But over my dead body will that happen.”
Instead, the proprietor has known as on the federal government to “come into the industry” and cost venues what they had been being charged beforehand.
“Come on Albo, we know you love live music,” he mentioned.
“Put your money where your mouth is and help save us, we need your help.”
Source: www.perthnow.com.au
