A parliamentary inquiry into the current dynamics of the music streaming market has prompted a bold call for a ‘complete reset’ of the market by UK MPs.
The subject of fair remuneration for artists has been controversial throughout the boom in the streaming age, but the results of this particular survey, released by the Digital, Culture, Media and Sport (DCMS) wing of Parliament , have led to a rare inflection point. where new protectionist regulations could loom on the horizon.
The subject of this survey examined the economic relationship between artists and their record companies, and unsurprisingly, the results showed that record companies reap a disproportionate amount of financial benefits.
“While streaming has brought significant benefits to the recorded music industry, the talents behind it – performers, songwriters and composers – are losing out,” said MP Julian Knight. “Only a complete streaming reset that enshrines their rights to a fair share of revenue in law will do.”
According to at MusicTech, the big British labels are the main determinants of the market, as Warner, Universal and Sony together hold 75% of the country’s market share.
When it comes to potential solutions, the report raises some intriguing ideas. He recommends the establishment of an equal 50/50 sharing of royalties between the artist and the label. Similar to the existing equitable remuneration system used for broadcast and television royalties, an independent collection agency would pay artists directly on the basis of the royalty terms. Finally, he proposed a system whereby artists could have the right to “reclaim” full rights to their music after a period of 20 years.
While this recognition represents a small victory for British artists, there is still a long way to go before significant change can potentially occur. It is now up to the UK government to respond to the findings of this investigation to determine whether it will seek action.