Select committee: Digital, Culture, Media and Sport Committee
Conclusion 3
Second Report - Economics of music streaming
Published 15 Jul 2021
Paragraph 58
Addressed to Department for Culture, Media and Sport
Digital, Culture, Media and Sport Committee Economics of music streaming All items in this report Report on parliament.uk ↗ Inquiry on parliament.uk ↗
Conclusion (the committee's words)
The pitiful returns from music streaming impact the entire creative ecosystem. Successful, critically acclaimed professional performers are seeing meagre returns from the dominant mode of music consumption. Non-featured performers are frozen out altogether, impacting what should be a viable career in its own right, as well as a critical pipeline for new talent. Those that provide specialist support for creators, either based on commission or working as salaried staff as part of an artist’s business or technical expertise, are also affected, meaning that fewer jobs will be sustained by an otherwise growing sector.
From: Digital, Culture, Media and Sport Committee, Second Report - Economics of music streaming (HC 50), paragraph 58, 15 July 2021
Government response
The government responded to the whole report on 22 September 2021 (deadline 15 September 2021).
Summary written by Accountability Index from the government's response. It is not the government's own words.The Government welcomes the Committee's report but says "more targeted research and evidence is needed" before it decides action on some issues, and sets out a work programme of contact and working groups and research, with a review in spring 2022.
- On equitable remuneration and new creator rights, the Government says impacts are "difficult to predict" and will assess models, "including through potential legislation", with an update expected in spring 2022.
- On transparency, the Government's view is that the industry "can, and should, seek to fix itself"; an industry-led working group is to report after 6 months, and it "will consider whether legislative intervention is warranted" if the outcome is unsatisfactory.
- It will not take forward the recommendations on publishing royalty chain information or on black box revenues, giving feasibility and existing regulation as its reasons. It also "disagrees" with the recommendation on the Music Export Growth Scheme and a fiscal incentive.
- On the market study, it notes the Committee's concerns and says it is "for the CMA to decide" how to use its resources, while having written to the CMA. It will legislate on the Digital Markets Unit "as soon as Parliamentary time allows".