New figures have shown that music sales have hit their highest peak in 20 years, but artists in the UK continue to earn far less than the average salary.
READ MORE: UK grassroots venues suffering from “the complete collapse of touring” – here’s how you can help
The latest statistics were published by the Digital Entertainment And Retail Association (ERA), and show that the number of streaming subscriptions and physical music sales continued to grow in 2024. Over the last 12 months, consumers have reportedly spent a total of £2.4billion on music.
Previously, the peak was back in 2001 when CD sales were at their highest and the consumer spend was reported as £2.2billion.
The rise of music consumption last year predominantly came from a rise in subscriptions to streaming services like Spotify, Apple Music and Amazon Music – with digital listening accounting for nearly 85 per cent of the total figure.
There has also been a steady growth in physical sales in recent times, and last year the market for vinyl records increased by 10.5 per cent. This is the equivalent of 6.7million sales and a revenue of £196million. Similarly, CD sales also brought in £126.2million, with roughly 10.5million albums bought.
Some of the biggest albums of the year which contributed to the figures included Taylor Swift‘s ‘The Tortured Poets Department’, which sold 783,820 copies, as well as Sabrina Carpenter’s ‘Short N’ Sweet’, Chappell Roan’s ‘The Rise And Fall Of A Midwest Princess’ and Charli XCX’s ‘Brat’.
Taylor Swift. CREDIT: Kevin Winter/TAS24/Getty Images for TAS Rights Management
As reported by the BBC, ERA head Kim Bayley, called 2024 a “banner year” for music – and the figures mark a stark increase compared to 10 years ago when recorded revenue from music in the UK dropped to £1.03billion
Despite the rise of music consumption in 2024, there is still a bleak reality facing countless artists. Although nearly £2.5billion has been spent on music in the past 12 months, the Musician’s Union has revealed the startling statistic that almost half of all working musicians in the UK earn less than £14,000 a year.
Speaking about the harsh circumstances facing talent, particularly in the UK, the union’s general secretary, Naomi Pohl said: “Sadly, professional musicians, artists and songwriters are not enjoying the boom represented by these figures.
“They are facing multiple problems including the high cost of living and touring, stagnating public arts funding, problems touring in the EU post-Brexit and, crucially, they are not receiving their fair share of streaming revenue.”
Similarly, Featured Artists Coalition CEO David Martin shared a statement with NME about the findings and outlined how the boom seen in music sales by no means suggests a boom for musicians.
“Ten years of consecutive growth and recorded music sales at a 20-year high suggest a thriving industry. However, beneath the surface, many UK artists earn far below-average salaries, with some making less than minimum wage despite being signed to the world’s largest record label. There is a pressing need for change,” he said.
“The FAC has long called for a fair minimum digital royalty rate, and the latest figures lay to rest excuses about internet disruption compressing industry revenues. If the industry’s resistance persists despite Department for Culture, Media & Sport-led negotiations, the Government must consider legislation,” he added.
“In 2024, UK artists were notably absent from Spotify’s top artists and rarely topped the UK singles charts. Compounding this, rising costs make live performances increasingly unviable for many. As both the recorded and live music sectors report record-breaking revenues, it’s clear that a fairer distribution of wealth isn’t a drain on profits, but an essential investment in the industry’s future.”
Lily Fontaine of English Teacher performs on stage at Electric Brixton on May 29, 2024 in London, England. (Photo by Gus Stewart/Redferns/Getty)
It has also been outlined by The Guardian that while more money is being spent on music consumption than ever before, recent years have seen major record labels reduced from five to three, meaning that “market power has been concentrated in the hands of fewer companies”. It also highlighted how while streams now count towards album sales figures, the royalties artists make from digital consumption are “a lot lighter in the pockets” than CD or vinyl sales.
The findings from the ERA also align with a report shared back in November, which revealed that the UK music industry contributes a record £7.6billion to the country’s economy, despite the grassroots sector remaining under threat.
Though these statistics point to growth, much of the grassroots sector continues to face challenges. With venues, for example, 2023 proved to be “disastrous” and the worst year on record with 125 grassroots music venues shutting their doors.
Just two months ago, the Music Venue Trust (MVT) also pointed to a potential “complete collapse of touring” as a result of the recent budget announcement that introduces £7million in new premises taxes. MVT has suggested that this will place 350 grassroots music venues at immediate risk of closure – threatening more than 12,000 jobs, over £250million in economic activity and the loss of over 75,000 live music events.
One of the most prominent figures speaking out about the struggle of musicians in recent months is Kate Nash, who launched a ‘Butts for Tour Buses’ campaign and joined OnlyFans to both protest and help raise money for her UK and European tour.
The singer-songwriter also took her “bum on the back of a fire truck” protest to the London offices of Live Nation and Spotify as well as the Houses of Parliament to highlight the challenges facing artists arguing: “The industry is in crisis, the music industry has failed artists, and is completely unsustainable, and my arse is shining a light on that.”
Speaking to NME last month, she explained why we’re seeing more artists taking action. “The reason it’s tipping over is because we’re almost at collapse. It can only go on to be something we all complain about behind the scenes for so long until you start to see it crumble,” she said.
Kate Nash at Victorious Festival 2023 (Photo by Harry Herd/Redferns/Getty Images)
“The reality is that touring is making losses, not profit. The grassroots is in absolute crisis. Venues are closing, festivals are being cancelled. People are thinking, ‘What’s the point in starting a band?’ and ‘How can I as an artist carry on?’
“Because of the massive inflation that everyone is experiencing outside of music, so many artists are asking themselves, ‘Is this just a hobby or a passion project?’ ‘Am I going to cross the threshold or is it time for something to get done on a governmental level?’”
Her actions also come at a time where the UK government has started to back the call for a ticket levy on arena gigs and above to feed the grassroots. Pressure was put on MPs to take action as small venues are finding themselves in a perilous situation, and artists are struggling more than ever to make ends meet.
A deadline for the music industry to take more concrete action to protect its smaller brethren has been set for March, before the government will be forced to step in and act.
Another figure speaking out is English Teacher frontwoman Lily Fontaine, who previously spoke to NME about the importance of grassroots music venues, and also told MPs at a hearing about how artists are facing “a crisis in terms of funding”.
“There is a lack of funding for musicians to create music,” the singer of the 2024 Mercury Prize-winning band said. “That is the foundation of the rest of the ecosystem for the music industry. In a sense, we’re employing everybody else.”
She proceeded to share a long list of outgoing expenses faced by artists, including studio time, rehearsal space, tour managers, engineers, van hire, musicians, non-artist fees, driver fees, accommodation, travel, carnets, visas, insurance, equipment, food, drink and more.
“To maintain a level of professionalism in this industry, you have to have all of the those things in place,” she said. “There really isn’t any money coming in to fund that. You get record labels that give you an advance that has to be split between a number of people. At the end of the day, you’re left with zero profit.”
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