Comedy acts are booming at the Edinburgh Festival Fringe as audience seek a levity amid political and financial gloom, festival chiefs say.

Amid this success, a new generation of stand ups "that reflect the diversity of the UK" will make their names known this year, according to the director of the festival's leading stand up prize, the Edinburgh Comedy Awards.

Nica Burns said that this new generation of comics have made an impression on judges this year, as comedy shows at the Fringe's big venues have seen their ticket sales all increase on last year.

Ms Burns, whose judges will draw up a long list of comedic talent for the awards two categories on Sunday, followed by the short list announcement next Wednesday, said comedy had created a "bubble of happiness" for festival goers.

The judges for the annual award, this year sponsored by Lastminute.com but famously sponsored by Perrier in the past, have seen more than 550 acts out of the eligible 647 shows.

She said: "It's a happy year, it's all very happy. People are not happy about where the country is, but in the bubble where we are in, people are happy."

Ms Burns, who has run the awards since 1984, said: "Talking to venue owners, everyone is up on last year: Gilded Balloon, the Pleasance is up, the Underbelly is up big time, and Bill [William] Burdett-Coutts [who runs Assembly] has a big smile on his face.

"I know that Underbelly was really up, and the Pleasance's graph is nicely going up.

"We are not actually in a recession. It's not 2007. We are very happy being gloomy about everything, so it's everything a festival should be, apart from some of the weather."

Anthony Alderson, the director of the major Pleasance venue, said: "The world seems a little backward-looking right now.

"Comedy is society's pressure valve, with some highly intelligent artists letting off our collective steam.

"We all need something to be cheerful about.

"The great amount of laughter from Edinburgh we hope will resonate around the world."

Marcel Lucont, a French comedian appearing at the Pleasance, said of the boost in comedy sales: "I believe it is largely due to the fact that I am back in town after a year's absence, reminding audiences of the quality that can truly be achieved in comedy...of course, post-Brexit, the British audiences need humour, but also a reminder of what they have waved goodbye to."

Ms Burns said this year's list could see some "major discoveries with the newcomers" especially female comcis and those from ethnically diverse backgrounds.

Although not suggesting they will be on the long list, which has yet to be decided, she mentioned acts such as Lolly Adefope, Sophie Willan, Kate Lucas, Michelle Woolf, Rose Matafeo, Nazeem Hussain, Bilal Zafar, Nish Kumar, Nick Mohammed and Ahir Shah.

She added: "There are some really good people, there is a whole new generation moving stuff forward, both with some really strong women and the diverse face of the modern UK," she said.

"The picture is different: and it is as it should be.

"The look of the under 30s and the look of the over 30s categories - we have a really good mix of women and diverse ethnicities, they really reflect the make-up of the UK, which is great."

Ms Burns added that mental health issues were also being tackled on stage.

"I think the biggest new subject matter, obviously there is a lot about Brexit, but what is new is the amount of performers talking about mental health," she said.

"It's massive, this is in comedy, whether it is Richard Gadd, Felicity Ward, Sophie Willan - it is a really big subject matter this year. And I have had quite a lot of feedback from audiences saying how good it is that it can be talked about so publicly."