Thank you for contacting me about the royalties that musicians receive from streaming services.
I understand that the Copyright (Rights and Remuneration of Musicians, Etc.) Private Members' Bill, sponsored by Kevin Brennan MP, is making its way through Parliament. I am aware that the Bill is scheduled for its second reading on 3 December. However, I do not generally support Private Member's Bills as I have found them to be an ineffective means of achieving change.
I am acutely aware of the concerns that many musicians have expressed over the revenues they have been able to obtain from these services in recent years. Streaming has revolutionised the music industry and been a great benefit for many listeners, and although the actual contracts are private commercial agreements between the parties concerned, I would not wish to see this come at the expense of the artists' livelihoods.
I was therefore pleased to learn that my colleagues on the Digital, Culture, Media and Sport Select Committee recently published a report on the economics of music streaming. As you might be aware, the report stressed the need for a "complete reset" of the market and for equitable remuneration. In response to the report, the Government noted that while "while overall music revenues are growing, many more creators are competing for a share of them, and there are many different and strongly-held views about how streaming revenue should be split to ensure fair outcomes". The Government went on to stress that more targeted research and evidence is therefore needed before a decision can be made about what action it should take on some of the issues highlighted by the Committee.
To this end, the Government will continue working closely with music creators, record labels, and streaming services to develop a programme of work to better understand the issue, including through the establishment of a contact group with senior representatives from the music industry. This group will meet regularly over the coming months to drive action and examine stakeholder views on the key issues such as equitable remuneration, contract transparency and platform liability rules.
Thank you again for taking the time to contact me.
