New Zealand Government to legislate on ticket scalping

New Zealand Prime Minister Jacinda Ardern has today advised that her Government is to take measures to ban ticket scalping.

Speaking to media on Monday at her post-Cabinet meeting press conference, Prime Minister Ardern advised that the "measures planned include a price cap on resale tickets, enforcing rules around information that needs to be disclosed to better inform consumers, and banning ticket-buying 'bots'."

Advising that she had heard terrible stories that consumers are not getting a fair deal she stated that the New Zealand Government is "going to do something about it".

She also referred to the New Zealand Commerce Commission having received more than 400 complaints since 2017 about Viagogo alone, making it the most complained about trader during that time.

In a subsequent statement, Prime Minister Ardern commented "we all know people who have bought tickets to the big concerts, sporting events and festivals who have not been able to attend because the tickets were fake or were duplicates.

“It’s not just big international events that are the issue – these practices also affect our local cultural sector. I’ve heard that the Upper Hutt Musical Theatre’s production of Blood Brothers had tickets on Viagogo advertised for $135 - that’s $105 more than what the original ticket price.

“It’s fundamentally unfair that people are profiting while our arts and culture sector is short-changed and consumers are being scammed."

New Zealand Consumer Affairs Minister Kris Faafoi said he was also concerned about professional scalpers using ticket 'bots' to buy up large quantities of tickets online and then reselling them at hugely inflated prices.

Minister Faafoi said the Government was targeting people who onsold tickets to make a profit advising "concern about this practice has already resulted in bots being banned in the United States, the United Kingdom and in New South Wales, Australia – so it seems entirely appropriate we should also be looking to end this practice in New Zealand.

“While misleading and deceptive behaviour is already prohibited under the Fair Trading Act, I am concerned that this doesn’t go far enough towards protecting consumers."

Currently, there is no New Zealand law which prevents tickets being resold for a higher price except where the event is covered by the Major Events Management Act 2007 (MEM Act).

The MEM Act applies to major events held in New Zealand that provide a substantial benefit to the country such as the Rugby World Cup 2011 and the Lions Tour 2017.

Only the New Zealand Governor-General, after consultation with specific Ministers, can declare an event a major event under the MEM Act.

To date, no concerts have been declared major events under the Act.

Image: New Zealand Prime Minister Jacinda Ardern.