The creative industries are no doubt a huge importance to the world’s economy, with the music industry contributing £3.5bn to the UK economy alone. However since the results of last June’s referendum, and the pound falling in value, the UK digital music industry is said to be seriously under threat, however a disconnection of opinions has emerged.
The industry which consists of musicians, composers, songwriters, music producers, and recording studios have experienced a rise in costs from distribution to downloading. Earlier this year Apple Music increased their apps by 25%, including the cost of a download. The upside to this, is that music streaming services have become easier and more accessible than ever before, for instance, Spotify makes its catalogue of music accessible everywhere in the world. The big three Spotify, Apple Music and Tidal, have reported a growth in streaming revenue, with an impressive 112 million regular paying music consumers. On the other hand however, independent artists would argue that they only see a mere fraction of a penny of this revenue, and believe streaming services are a disservice to small independent labels.
Another argument that has emerged is that Brexit would lead to artists not being eligible to apply for EU funding to support production and distribution costs, as well as international travel costs. However others argue that Brexit would lead to a resurgence of the music industry, where similar to the tax breaks given to the Film industry, tax cuts could be given to the independent music sector which in turn would be an attractive proposal to encourage foreign artists to choose the UK to do recordings and boost the sector further.
Here at SPARK our offices are offered at a discounted rate to support and nurture emerging talented individuals in the creative sector.