Exclusive:Edinburgh Festival Fringe venue Pleasance unveils £61k deficit as costs spiral

In its latest set of accounts filed recently with Companies House, The Pleasance Trust revealed it had posted a £61,311 deficit last year. The firm cited "challenges" in the rising cost of artists presenting work at the Fringe as well as the lingering effects of the pandemic.

However, director Anthony Alderson told The Scotsman the gap “could well be larger” for 2025, as the venue grapples with above-inflation price rises to operate in Edinburgh.

The accounts for the 12 months to November 2024 warned the operating landscape for Fringe venues was “very difficult”, while the impact of the pandemic remains "very challenging". The document said a “marked reduction” in grants and donations it received had contributed to the loss.

However, Mr Alderson said despite having had one of its strongest years artistically, “the challenge to make our festival break even is increasingly hard”, citing rising costs of licensing, planning and accommodation in Edinburgh.

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He said: “On the surface, it looks commercially successful; the reality is a very different story. Barely any of the £6.5 million annual box office stays within the Pleasance. It goes to artists and to cover the annual costs of building and running our venues. The deficit for 2024 was £61,000 - it could well be larger for 2025.

“The financial environment has become extremely challenging with the associated costs of licensing, planning, accommodation etc rising far above inflation. The festival’s greatest threat is currently the costs of the city. It’s a challenging time for the Pleasance and the festival as a whole.”

In a statement filed with the 2024 accounts, the company’s chairman, Richard House, said the operating landscape “remains very difficult”.

He said: “The 2024 season continued to present challenges, especially regarding the rising costs of showcasing work at the Edinburgh Festival Fringe. Increasing accommodation, travel and production expenses have added financial strain on both performers and venues. For many artists, particularly those at the beginning of their careers, these obstacles pose a serious threat to participation and ongoing sustainability.”

The Pleasance said it wanted to focus on diversifying revenue streams for the future, including increasing facility fees for broadcast in Edinburgh during the festival, as well as expanding event hire following the reconfiguration of its Main House venue in London.

The accounts said the company was exploring new ways of generating revenue through online and broadcast performance. But it was acknowledged those avenues “remain modest in scale” due to a stronger appetite for live performance.

Average ticket prices increased over the year from £12.71 in 2023 to £13.69 in 2024 - a 7 per cent rise the Pleasance Trust said was aligned with inflation.

The statement added: “Despite increases in ticket prices and the increased footfall in both London and Edinburgh, at year end, the Pleasance Theatre Trust Ltd and subsidiary Pleasance Theatre Festival as a group reported a deficit of £61,311.”

The accounts revealed that at last year’s Fringe, attendances rose by 1.7 per cent compared with 2023. Combined with a forced increase in ticket prices, this resulted in a 9.6 per cent growth in total box office income. However, the trust's overall share of the box office fell “in order to prioritise and sustain” the artistic programme.

The accounts showed the total income from the Edinburgh box office was £3.58m for 2024. Bar takings over the festival generated £257,685. Additional box office takings are generated at its London venues.

The Pleasance was this year hit by a weather warning and high winds on one day of the Fringe, which forced the venue to cancel 72 shows. The Pleasance Courtyard and Plaza was closed for the first time in the venue’s 41-year history.

Mr Alderson told The Scotsman at the time the financial impact of a day’s closure would be “significant”, with up to 15,000 audience members potentially affected.

The accounts said ticket sales remained The Pleasance’s main source of revenue and said it had not sought regular revenue funds through direct subsidy from any public sector source.

“It is therefore reliant on the entrepreneurial spirit of its management team and trustee body to ensure that income is maintained and, where possible, increased,” the firm said. “To this end, it upholds a high level of experience within the entertainment sector in both the trustee body and management team, and will continue to do so, securing additional expertise as appropriate.”

Only one member of staff was listed as earning between £80,000 and £89,999 a year, with all other staff remunerated at below £70,000pa.

Underbelly bosses Ed Bartlam and Charlie Wood told The Scotsman in August the Fringe was becoming a “more Scottish festival” due to the rising costs of attending the event.

They said more tickets were being sold to Edinburgh locals and other Scots, as they claimed people from further afield were increasingly priced out.

Around 2.6 million tickets were sold for 3,893 shows at this year’s Fringe - a similar level to last year and well below the peak of three million sold in 2019, before the Covid pandemic.

Edinburgh Festival Fringe Society chief executive Tony Lankester had subsequently asked the UK and Scottish governments to “explore ways to alleviate ... challenges”, including accommodation costs.

A new tourist tax will apply during next year’s Fringe, with the 5 per cent ‘visitor levy’ on paid, overnight accommodation in Edinburgh starting July 24, 2026.