This comes as new figures released by the NTIA through CGA recently showed one in five nightclubs had closed over the past three years, with just 1130 left across the UK, down substantially since the pandemic and subject to further change in the current economic climate.
NTIA CEO Michael Kill CEO NTIA said: “Late night economy businesses were one of the quickest sectors to rebound during the financial crash many years ago, harbouring an abundance of resilience and entrepreneurial spirit.
“It’s without a doubt that these businesses, particularly nightclubs, have a huge part to play in the regeneration of high streets in towns and cities across the UK.
Key part
“Beyond the generation of footfall through trade, domestic and international visitors to clubs support the local economy in secondary and tertiary purchases through accommodation, travel and retail.
“It is also key to recognise these businesses play a key part in people's decision-making process from choosing a university or college to influencing investment choices for businesses relocating or expanding, to accommodate for a young workforce.”
According to the data, the Midlands and North have been hardest hit, with some key independent businesses being lost, all of which play a significant role in supporting the wider night time economy, which has been estimated to generate £112bn in revenue per annum (6% of the UK's total).
In June this year, figures from the Office for National Statistics (ONS) also revealed the number of licensed clubs in the UK fell from some 10,000 to below 7,000 between 2010 and 2021.
Community value
This comes as the sector has continued to face a culmination of pandemic debt on top of rocketing energy bills, workforce challenges, supply chain, increased insurance premiums, landlord pressures and product cost increases, created a perfect storm for the industry according to the NTIA.
Furthermore, earlier this year, Labour's Shadow Levelling Up Secretary, Lisa Nandy stated in an interview with the Times nightclubs could be the key to help struggling towns, providing opportunities for young people, and reflecting part of the UK’s history and heritage.
Kill added: "Not forgetting the important part they play in people's, physical, mental and social wellbeing.
"The Government needs to recognise the economic, cultural, and community value of clubs and the wider night-time economy. We must protect these businesses, using every means possible, and recognise their importance before it's too late.”