The U.K. government has announced a major financial investment worth up to £30 million ($40 million) to help drive growth in the local music industry.
The stimulus package is part of the government’s Creative Industries Sector Plan, which is due to be published in full next week in the wider Government Industrial Strategy report. The report will identify the music industry as a “high-growth sub-sector along with film and TV, video games, and advertising and marketing.”
The Music Growth Package doubles current government funding up from £4.1 million per year ($5.49 million) to up to £10 million ($13.38 million) annually for three years. The plan seeks to help grassroots talents tour domestically and internationally, and to support export opportunities. It also highlights significant uplift in funding for the grassroots sector to support grassroots venues, and to help them “platform more high-potential artists.”
Amidst concerns about artificial intelligence from rightsholders — including Sir Elton John — the government says it will commit to “ensure a robust copyright regime and support British IP,” with the establishment of the Creative Content Exchange. The government describes it as “a trusted marketplace for selling, buying, licensing and enabling permitted access to digitized cultural and creative assets,” which will open up new revenue streams for content owners.
Additionally the plan announces that the government will broker “an industry-led agreement on music streaming, including helping legacy artists to renegotiate their contracts and increasing remuneration for session musicians.”
“The U.K. music industry is truly world-leading — home to exceptional talent, iconic venues, and live events that draw fans from around the world,” Culture secretary Lisa Nandy said. “That’s why music will be a key pillar of our Sector Plan, with the power to drive economic growth and create good jobs in every part of our country, as we deliver our Plan for Change. From helping artists tour internationally to supporting grassroots venues, this plan will ensure the music industry continues to thrive for generations to come.”
In recent months a number of key industry figures had expressed concern about the lack of government intervention in the sector. Many had pointed to the state of small venues and the grassroots touring circuit, artificial intelligence and music in an educational setting. Industry board U.K. Music reported that the music sector’s contribution to the U.K. economy in 2023 hit a record £7.6 billion, and that employees in the sector had reached 216,000.
A number of key industry boards have reacted positively to the news. “The MMF welcomes the incoming Music Growth Package and the Government’s recognition of a need for progress on areas including streaming reform, EU touring, and grassroots live music,” said Annabella Coldrick, chief executive of the Music Managers Forum. “The UK should be the best place in the world for artists and other music makers to base themselves and build a career. This announcement provides an opportunity to set the industry’s compass towards that goal.”
U.K. Music chief executive Tom Kiehl added, “UK Music welcomes the Government’s Creative Industries Sector Plan and the important status that it gives to music. The Sector Plan rightly recognises our world-beating £7.6 billion music sector as an essential high-growth-driving part of the creative industries. It is hugely welcome that funding packages and programs are being made available to turbocharge the music industry and we are incredibly excited at the opportunity to be working with the Government to deliver on this.”
