The group, chaired by Labour MP Jeff Smith, will aim to provide a voice for the sector in Parliament, not only to address the immediate Covid-induced crisis it is facing but also future challenges.
It comes as the sector and its supply chains face collapse, with many night-time economy businesses having been forced to remain closed since the imposition of the first national lockdown in March.
"The night-time sector is hugely important to both the UK economy and our cultural identity, but in the past nine months it has faced enormous challenges, and thousands of bars, nightclubs, and live events businesses are at risk of collapse," says Smith.
"As a former events manager and DJ, I feel strongly about the importance of these businesses, so I am pleased to be chairing the new cross-party group to support night-time industries.
"We will be working hard to ensure that this usually viable, thriving and world-leading sector can not only survive the Covid crisis, but prepare for a prosperous, long-term recovery."
The new APPG will be supported by the Night Time Industries Association (NTIA), which will provide industry insight and secretariat services to the group.
“It is vitally important that the night-time economy has its own voice, and alongside businesses, associations and participating parliamentarians, we welcome the APPG to further support and clarify the challenges around the industry, and help recognise its cultural and economic value both within the UK and internationally,” says Michael Kill, CEO of NTIA.
“We are extremely pleased to have the support of many cross-party parliamentarians, and believe that this group will have a substantial part to play in the regeneration of the night-time economy in the next 12 months.”