Image: NYE In The Park, Facebook
by CHRISTINE LAI
NYE In The Park has become another casualty among recent Australian music festivals to fall into financial collapse.
The beloved Sydney music festival has been held annually in Victoria Park since 2017.
Following a ruling by the NSW Supreme Court last week, ITP Music Pty Ltd, the company responsible for organising the event, has been mandated to undergo liquidation due to its inability to settle debts.
According to a notice released by the Australian Securities and Investments Commission (ASIC), Vincent Pirina from the insolvency firm Aston Chace Group was appointed by the court to oversee the liquidation process last Wednesday, March 27th.
Since its inception in 2017 at Victoria Park in Broadway, the festival has showcased a line-up of prominent Australian artists including Lime Cordiale, Flight Facilities, Vera Blue, Cut Copy, Late Nite Tuff Guy (Carmelo Bianchetti) and The Presets.
However, both the event’s social media accounts and website have since been deactivated.
Logistics company Kennards Hire initially filed for winding-up orders on February 1. It remains unclear whether there are additional creditors involved or the exact total amount reportedly owed by the festival organisers, ITP Music at this stage.
NYE In The Park is the latest addition to the growing list of Australian music festivals that have been scrapped.
Another Festival Bites The Dust
Last week, Splendour In The Grass was cancelled due to “unexpected events”.
According to Managing Director Mitch Wilson, the decision to cancel was primarily driven by ticket sales.
“We’re seeing costs up 30 to 40 per cent across the board, and ticket sales just aren’t where they need to be to cover those costs,” Wilson told Hack.
“Australian festivals are really struggling at the moment because of the strength of the Australian dollar, and travel costs are through the roof.”
Live Music Festival Challenges and Economic Factors
Dr. Sam Whiting, an expert in the live music industry from the University of South Australia, weighed in on the challenges faced by large festivals like Splendour.
According to Dr. Whiting, shifting consumer music consumption patterns have prompted a reassessment of festival programming strategies.
“I think we are seeing the end of this multi-genre, multi-festival programming style, the ‘there’s something for everyone’ approach to programming,” Dr Whiting told triple j Hack with Dave Marchese.
Dr. Whiting also pointed to the current cost-of-living challenges, suggesting that they may have led to a reduction in discretionary spending.
“The cost-of-living crisis, the wages and housing crises are hitting young people the hardest, and they are being much more careful with their spending habits,” Dr Whiting said.
A recent report published by the Greens indicates that across Australia, an annual income of $164,400 is required to purchase a house without experiencing housing stress, which is 1.6 times the average income.
Data from Core Logic and the Australian Bureau of Statistics (ABS) found that for a single income household, there is no city region where purchasing a house is affordable.
Increasing difficulty with the cost of living has undoubtedly led to a significant decline in the live music landscape of New South Wales. This was also seen by Groovin the Moo’s cancellation earlier in February, two months before its scheduled start.
The last NYE In The Park’s festival was held at the end of 2022, attracting attendees with ticket prices starting at $140.
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