Bold plan to stop ‘ripping off Australians’

The federal government has unveiled plans to ban dynamic ticket pricing as part of a raft of new measures it says will “stop businesses ripping off Australians”.

Subscription traps, drip pricing, and deceptive online practices are among the issues the government plan aims to address, with Prime Minister Anthony Albanese saying the plan will take “strong action to stop businesses from engaging in dodgy practices that rip consumers off”.

“Today’s announcement puts businesses engaging in unfair trading practices on notice,” the Prime Minister said.

“Hidden fees and traps are putting even more pressure on the cost of living and it needs to stop.”

The Treasury will consult on the design of the new measures before the federal government legislates what it described as a “general prohibition on unfair trading practices”.

Among the targeted practices is dynamic pricing, where a product’s price changes during the transaction process based on supply and demand.

Green Day fans recently slammed the pricing model as tickets shot up to as high as $500 for seated tickets.

The sale of Britpop rock band Oasis’ UK and Irish shows also thrust dynamic pricing into the spotlight earlier in the year, with the UK competition regulator launching an investigation into the ticketing model following the Oasis sale.

The European Commission is now also reportedly looking into the controversial practice, according to The Guardian. The government said these and similar practices could distort purchasing decisions or result in additional costs, putting more pressure on the cost of living.

The decision follows a Four Corners investigation, which found ticketing giants are charging punters hidden fees.

Assistant Treasurer Stephen Jones said many ticket sellers are engaging in a “sharp and tricky practice”.

“Consumers have had enough and the government’s going to act,” he told ABC RN Breakfast.

“We’ll be looking at the entire economy … dynamic pricing, which is affecting everything from getting a ticket to a sporting event to pop concerts.”

The move follows Arts Minister Tony Burke telling Four Corners dynamic pricing was “not something we’re looking at, at the moment”, according to the ABC.

US SUES LIVE NATION

Live Nation is also being sued by the US government over claims the ticketing giant is unlawfully monopolising the industry to the detriment of fans, artists, promoters and venue operators.

A civil antitrust lawsuit was filed by the US Department of Justice and 30 state and district attorneys-general in May this year with allegations fans have been “deprived of ticketing innovation and forced to use outdated technology”.

US Attorney-General Merrick B. Garland earlier said Live Nation “relies on unlawful, anti-competitive conduct to exercise its monopolistic control over the live events industry in the United States at the cost of fans, artists, smaller promoters, and venue operators”.

“It is time to break up Live Nation-Ticketmaster,” Mr Garland said.

In August, 10 additional US states joined the action.

However, Live Nation executive vice-president Dan Wall called claims of monopolising “absurd”.

“It ignores everything that is actually responsible for higher ticket prices, from increasing production costs to artist popularity, to 24/7 online ticket scalping that reveals the public’s willingness to pay far more than primary tickets cost,” Mr Wall said in a statement.

NewsWire has contacted Live Nation and Ticketmaster for comment and previously contacted Live Nation for comment over the use of dynamic pricing during the Green Day presale.