Source · Select Committees · Culture, Media and Sport Committee
Fifth Report - Creator remuneration
Culture, Media and Sport Committee
HC 156
Published 10 April 2024
Recommendations
2
Deferred
Para 29
Introduce statutory private copying scheme with creative industries, safeguarding reciprocal payments from abroad.
Recommendation
We recommend the Government work with the UK’s creative industries to introduce a statutory private copying scheme, which, at minimum, safeguards reciprocal payments from abroad, to be produced within the next twelve months.
Government Response Summary
The government acknowledges the complexity and states ministers will meet with creative industries to strengthen the evidence base on private copying, both domestically and internationally. They are also analyzing EU approaches and engaging with BECS regarding reciprocal payments, but do not commit to introducing a statutory scheme within twelve months.
Department for Culture, Media and Sport
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4
Acknowledged
Require Government to establish mechanisms and a legislative deadline for AI creator compensation.
Recommendation
The Government must ensure that creators have proper mechanisms to enforce their consent and receive fair compensation for use of their work by AI developers. It should set out measurable objectives for the period of engagement with the AI and …
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Government Response Summary
The government acknowledges concerns about AI and copyright, stating DCMS, DSIT, and IPO are working closely with stakeholders to find a balance between innovation and creator protection. They recognise legislation may be required and intend to proceed with urgency, hoping to announce next steps soon, but do not set measurable objectives or a definitive legislative deadline.
Department for Culture, Media and Sport
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6
Deferred
Para 58
Appoint a Freelancers’ Commissioner with cross-departmental oversight to advocate for creative freelancers.
Recommendation
We recommend that the Government appoint a Freelancers’ Commissioner, with appropriate powers and cross-departmental oversight, to advocate across Government in the interests of creative freelancers, and of other freelance and self-employed people more broadly.
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Government Response Summary
The government acknowledges the importance of freelancers and states that a sub-group is expected to discuss proposals for a Freelance Commissioner. They are also reviewing options across government departments to identify support, but do not commit to appointing a Commissioner at this time.
Department for Culture, Media and Sport
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8
Accepted in Part
Acknowledge and address poor creator working conditions by implementing Good Work Review recommendations.
Recommendation
The Government should acknowledge and address issues around contracts and working conditions by implementing the recommendations of the DCMS-sponsored Good Work Review, using the sector’s CREATOR campaign as a basis for fair working standards. (Paragraph 61) Economics of music publishing
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Government Response Summary
The government partially accepts the recommendation, highlighting its support for industry efforts to improve working conditions. These include backing a new industry-wide Code of Conduct, a £1.5 million BFI programme, and welcoming the establishment of the Creative Industries Independent Standards Authority (CIISA), which was a specific recommendation from the Good Work Review.
Department for Culture, Media and Sport
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9
Deferred
Para 69
Maintain momentum on music streaming reform using finalised research into creator earnings.
Recommendation
We welcome the Government’s ongoing commitment to the reset of music streaming which we have advocated and note the recent metadata and transparency codes agreed by the working groups it led. The Government must now maintain this momentum in light …
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Government Response Summary
The government acknowledges progress on metadata and transparency but states its view that creator remuneration issues are best addressed through industry dialogue and action via the Creator Remuneration Working Group. Ministers will keep the situation under review but are not committing to further direct intervention based on the research at this time.
Department for Culture, Media and Sport
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10
Rejected
Para 69
Drive fundamental reform of music streaming based on commissioned research results.
Recommendation
The Government must take stock of the results of the extensive research it has commissioned and look at how it can drive fundamental reform of music streaming with a package of measures designed to make streaming work for all.
Government Response Summary
The government acknowledges creator concerns but states its current view is that industry-led dialogue and action, via the Creator Remuneration Working Group, is the best approach for addressing remuneration in music streaming. They will keep it under review and reserve the right to consider alternative measures if necessary, but currently do not commit to driving fundamental reform through a government-led package of measures.
Department for Culture, Media and Sport
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12
Rejected
Para 73
Revisit Creator Remuneration Working Group membership to give music makers a stronger voice.
Recommendation
We recommend that the Government revisit the Creator Remuneration Working Group’s membership, in order to give music makers a stronger and fairer voice over issues of remuneration for the duration of the Group’s timespan.
Government Response Summary
The government rejects the recommendation to revisit the Creator Remuneration Working Group's membership, stating confidence in its adequate and broad representation. They explain the benefits of a size-limited group and commit to ensuring all members have an opportunity to express views, while monitoring progress and adapting the group if deemed necessary.
Department for Culture, Media and Sport
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14
Rejected
Require Government to consult on measures incentivising optimal publishing rights rates for creators.
Recommendation
Given the contribution of songwriters and composers to the success of music streaming, we recommend that the Government bring forward measures for consultation with fans, music makers and other stakeholders to incentivise an optimal rate for publishing rights in order …
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Government Response Summary
The government rejects the recommendation to bring forward measures for consultation, stating its belief that appropriate remuneration is best achieved through industry negotiations. It welcomes views through the Creator Remuneration Working Group but will not introduce government-led measures at this time.
Department for Culture, Media and Sport
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Conclusions (6)
1
Conclusion
Deferred
Para 29
Revenue from private copying from abroad is an important source of income for creators, remunerating them for the use of their works that is integral to the demand for electronic devices. Not only does a lack of such a scheme in the UK prevent British creators from receiving payments from …
Government Response Summary
The government acknowledges the complexity of private copying schemes and their implications. It commits to strengthening the evidence base through meetings with creative industry representatives and analysing approaches in other Member States to inform future discussions.
3
Conclusion
Acknowledged
Para 39
Despite our previous recommendations that the Government win back the trust of creators regarding their concerns over AI, its working group has not been able to bring forward a code of practice on AI and intellectual property. Although the Government asserted that it could consider legislating were agreement not reached, …
Government Response Summary
The government acknowledges the Committee's concerns regarding the lack of a code of practice on AI and IP and the status quo favoring AI developers. They state that DCMS, DSIT, and IPO are working closely to understand issues, engaging with stakeholders, and intend to proceed with urgency to announce next steps soon, recognizing potential legislative needs.
5
Conclusion
Acknowledged
Para 58
Freelancers make up a significant portion of the creative workforce but lack a single clear voice representing their interests to Government. This has resulted in a decline in pay and conditions that will cause long-term harm to the sector.
Government Response Summary
The government acknowledges the importance of the self-employed workforce in the creative industries, noting both benefits and challenges. They highlight ongoing initiatives like the Creative Industries Sector Vision's Good Work Review and a pilot support programme for screen, and are reviewing options across departments for pan-economy support and discussing a Freelance Commissioner.
7
Conclusion
Accepted
Many creators experience poor working conditions, including inconsistent use of contracts and terms and conditions, uneven responses to bullying, harassment and discrimination and a lack of proper support, accounting, training and development. This compounds the poor pay available in the profession and its high barriers to entry. (Paragraph 61) 44 …
Government Response Summary
The government acknowledges challenges faced by the self-employed workforce in creative industries. It highlights ongoing efforts, including support for an industry-wide Code of Conduct, the BFI's £1.5 million Good Work Sector Support Programme, and the establishment of the Creative Industries Independent Standards Authority to address these issues.
11
Conclusion
Rejected
Para 73
We welcome the Government’s publication of the terms of reference for the Creator Remuneration Working Group and expect to see tangible steps to improve musicians’ remuneration and performer rights in the next twelve months. However, we note concerns that the group’s membership leaves creators themselves with a minority voice and …
Government Response Summary
The government expresses confidence that the Creator Remuneration Working Group has adequate and broad representation, ensuring productive conversations despite a size-limited membership. They will ensure all members can express views and may invite others or adapt the group if necessary, but do not commit to changing the current structure.
13
Conclusion
Deferred
Para 83
The revenue split between recording and publishing rights does not reflect the importance of songwriters, composers and publishers in the music streaming process. We note that the Competition and Markets Authority has also concluded that it is for the Government to determine what is needed to reach an optimal split.
Government Response Summary
The government acknowledges the importance of fair remuneration but believes industry negotiations are the best approach. It welcomes further views through the Creator Remuneration Working Group before considering any direct intervention.