- UK music contribution to the UK economy in 2024 hit a
record £8 billion.
- UK music exports revenue in 2024 reaches new high of £4.8
billion.
- Total UK music industry employment in 2024 rises to record
high of 220,000.
UK Music, the collective voice of the music industry, has
released its annual economic report, This Is Music
2025.
The report outlines the huge contribution the UK
music industry makes to the economy - but also outlines some of
the major challenges the sector faces.
Major UK tours in 2024 by Take That, Taylor Swift, Bruce
Springsteen, Liam Gallagher and Girls Aloud helped drive the
economic figures, while exports received a further boost from
British artists including Charli xcx and her
breakthrough album Brat. also scored a global hit with
her single Messy.
The key headline statistics in UK Music's This
Is Music 2025 report are:
-
UK music's contribution to the UK economy in 2024 hit a
record £8 billion in terms of
Gross Value Added (GVA) - up 5% from £7.6 billion in
2023.
-
UK music exports revenue in 2024 reached a new high of
£4.8 billion - up 5% from £4.6 billion in
2023 (please see under editors notes for
definition of ‘revenue' and ‘GVA')
-
Total UK music industry employment in 2024 hit a record
220,000 (full-time equivalent posts) - up 2% from 216,000 in
2023.
UK Music's Chief Executive Tom Kiehl welcomed the figures but
warned that the UK music industry faced a number of challenges
that threatened its world-leading status.
The report was also praised by political leaders including
Foreign Secretary MP, who paid tribute to the
music industry as “one of our greatest international success
stories”.
The challenges facing the sector covered in depth in the
This Is Music report include:
Slowing Growth Rate:
The rate of economic growth in the music industry slowed with
Gross Value Added and exports both 5% up in 2024, instead of the
double-digit growth seen over the past few years as the industry
recovered from the pandemic. A weaker touring schedule and a lack
of big selling releases by British artists in 2024 also
contributed to the slowdown.
Impact of Artificial Intelligence:
UK Music surveyed music creators about Artificial Intelligence
(AI) for the report. Music creators were united in agreeing
protections should be in place to stop their work being used
without permission or payment - with over 90% of respondents
indicating their support.
Lengthening Artist Development Cycle:
The development of UK artists and music creators is a rising
concern because it is taking longer for artists to reach a
breakthrough moment, the report concluded. This is part of a
global trend which has impacted artists from the UK, USA and
other major markets.
Threat to Grassroots Ecosystem:
Challenges facing the grassroots ecosystem are also a factor.
Many emerging artists are finding it increasingly difficult to
tour at this level, with income from touring not keeping pace
with costs. Many grassroots music venues have closed in recent
years and others are under threat. Recording studios are
under pressure, while the cost of recording and touring for
grassroots music creators is especially tough.
EU Touring and Cultural Exchange:
For a third year, UK Music surveyed British-based music creators
about their experiences of Brexit. This group included touring
artists and musicians, DJs, vocalists, composers, songwriters,
lyricists and producers.
The picture is still challenging and is getting worse. Of those
surveyed, 32% were affected by the UK leaving the EU in 2024 - up
4% from 28% in 2023. Of those affected, 95% experienced a
decrease in earnings in 2024 - up 8% from 87% in 2023.
UK Music Chief Executive Tom Kiehl
said: “In recent years UK Music has reported that
the music industry has enjoyed double-digit annual growth. That
growth has now halved indicates a levelling off of the immediate
post-pandemic boost that we experienced, as well as other
underlying issues set out in this report.
“This points to the need for urgent action. If problems are not
addressed then future growth cannot be guaranteed.
“The Government has committed to a £30 million Music Growth
Package and it is vital that these much-needed funds are
channelled to boost this cycle, as well as targeting other key
issues.
“But while it is brilliant news that the Government now
acknowledges music as a high-growth sub-sector, ultimately the
Government needs to be judged in terms of the progress it makes
in regulating artificial intelligence and unlocking EU
touring.
“The status quo on these two big issues is currently tilted
against music's interests, with This Is Music 2025 revealing new
survey data on both AI and EU touring evidencing why we need the
balance to swing back in our favour.
“This is a pivotal moment for the UK music industry, let's come
together to make sure we realise our full potential.”
Writing in the report, Foreign Secretary MP said: “The
UK music industry remains one of our greatest international
success stories.
“Every year, we see more new artists from Britain becoming global
stars, and our existing world-famous musicians reaching new
heights, all of them adding to the incredible heritage of
creativity, talent and genius that has defined UK music
throughout our history.
“As Foreign Secretary, I am deeply grateful for the role that the
UK music industry plays in promoting British culture around the
world, opening doors across continents, and acting as one of the
most powerful expressions of our soft power in action.
“We have therefore ensured music is a key part of the
Government's new Soft Power Council, which brings together
leaders ranging from culture and sport to tourism and education
to discuss how the UK projects itself globally.
“At a time of continuing economic challenges around the world,
the UK music industry also makes an important contribution to the
overall strength of our economy, and the figures in this annual
report show that the industry is continuing to grow in gross
value added, exports and employment.
“Yet despite UK music's successes, we are aware that the industry
faces real challenges.
“The grassroots music sector, which nurtures the talent that goes
on to achieve global success, is facing pressures that risk
holding back the next generation of artists, while touring
barriers make it harder for those artists who have enjoyed
success at home to go to the next level and reach an
international audience.
“We are committed to working with our European partners to make
it is as easy as possible for British artists to perform their
music on the continent.
“Competition is also intensifying as other nations seek to grow
their own cultural exports and take a greater share of the global
market for new music. In this fiercely competitive environment,
it is more vital than ever that we support British
creativity.
“The Government's Music Growth Package – announced this year –
will provide up to £10 million annually over three years to
support touring, performance, mentoring and export opportunities
for emerging talent to help them break through at home and
abroad. The funding will support the whole music ecosystem from
the grassroots upwards, helping UK music to maintain its global
impact.
“With the Government's support, the UK music industry can
continue growing from strength-to-strength, delivering economic
growth, nurturing new talent, and exemplifying to the world our
nation's creativity and global influence. Together, we can ensure
that Britain is where our country always belongs – a leader on
the global stage.”
UK Music is calling on the Government to take urgent
action in key areas to help boost growth, exports and jobs in the
music industry.
UK Music wants to see action to implement the Creative Industries
Sector Plan, the Curriculum Review and the National Centre for
Arts and Music Education, as well as the roll out of the Music
Growth Package, music at the heart of the BBC Charter Renewal,
business rate reviews and swift legislation for price caps on
ticket resales.
However, there are two overarching factors that threaten the
continued success of our world-leading sector - the impact of
unregulated AI and barriers to global exports.
We would like to see the Government take specific steps in these
key areas:
ARTIFICIAL INTELLIGENCE:
- Reject any copyright exception that undermines the basic
principle for how music is used and compensated for.
- Introduce legal obligations on AI developers to disclose
copyright works used in training.
- Establish a legal requirement for clear labelling of
AI-generated music.
- Ensure that companies accessing UK markets comply with UK
laws on AI and copyright.
- Explore personality rights to provide individuals with legal
protection over the use of their image, likeness, voice, and
personal identity.
GLOBAL EXPORTS:
- Secure an agreement with the EU to remove barriers to
cultural exchange such as visa and work permit requirements.
- Negotiate a reciprocal agreement with the USA on visa fees
for performing artists and crews and ensure the interests of UK
music industry are protected in any trade deals and tariff
negotiations.
- Remove UK-specific barriers to global exports by cutting
costs and red tape around ATA Carnet (often referred to as a
passport for goods) and Musical Instrument Certificates.
- Establish a Taskforce to develop an international strategy
for music in the face of increased global competition.
