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The 2023 Words by the Water book festival in the Lake District has been cancelled due to the cost of living crisis.
Director Leah Varnell told the BBC there was a "pincer movement" of escalating costs and declining ticket sales. She told BBC Radio Cumbria the festival was held for the first time since the coronavirus pandemic in March with audience numbers "back where we hope them to be".
But at a sister festival in Totnes, Devon, in July, ticket sales had "absolutely plummeted" with Varnell attributing the fall to the cost of living crisis.
"People are feeling it and are worried about it," she said, adding: "The first things you jettison if you are worried about money are leisure activities or pleasurable things that you can do without when you need to be paying your gas bill."
She said she hoped there may be a "phoenix-like rise from the ashes" but was not sure what the future would hold. "Certainly 2023 isn’t going to be possible," she said, adding: "Things are not going to be better by spring.
"It’s all so uncertain and I certainly can’t say we will be back in 2024 but we really hope we might be able to do something."
A statement released by organisers Ways with Words said: “Through the first year of Covid-19 we were unable to run any festivals, and as events were allowed to run again we were only able to host limited audiences. From there the country has moved into an economic situation where households are facing difficult financial choices. We know from other colleagues and literary festivals that most literary events have seen smaller audiences and lower revenue.
“As a small team, we have worked incredibly hard to keep Ways With Words going since 2020 but sadly we are no longer currently viable and we have had to make the decision to cease running events.
“We will cherish the many happy memories from all our festivals over the years and we thank you for all your support.”
In July, organisers of other events told The Bookseller sales were generally holding up, though they were having to innovate amid soaring costs and a crowded market.