(3 years ago)
Commons ChamberI am grateful for the opportunity to resume my speech—this almost feels like a second episode, perhaps of “EastEnders” or “Doctor Who”, with a drum roll but without all the excitement and cliffhangers—and I have a couple of little points to make. I shall be brief, as I know that several hon. Members wish to contribute to the debate.
I did not want to give the impression that I had any difficulty with the traditional model for contractual arrangements with artists. I think that there is a lot in the rights-ownership model, which has sustained the music industry since its inception and has made a huge success of it. It only created difficulties in the early noughties with the advent of digitisation. Music was probably the first discipline that began to experience difficulties with digitisation, and we know the problems that consumed the industry. Its very survival was under threat from pirates and companies such as Napster and so on.
We put in the infrastructure that helped to deal with that, and music has been a massive success since then. Global revenues hit £16.2 billion last year—the highest since 2002. This is the sixth consecutive year of growth. Between 2015 and 2019, revenues enjoyed by labels have grown by more than £200 million. People are making obscene amounts of money again, but not the people making the music.
The hon. Gentleman spoke about his own illustrious music recording career earlier. Does he recognise that someone who sold 1 million copies of a single in the 1990s typically saw their single reach the top 25 singles of the year, whereas about 1,700 different artists had more than 1 million streams last year? He is right that there is a lot of streaming, but it is being shared so much more widely, so is it not inevitable that many people will receive less?
People will receive less because they are paid such pitiful, insignificant sums every time one of their pieces of music is played on one of the streaming services. On iTunes, it is 0.003p per play for the artist. Apple Music is a little more generous, with 0.006p. Those are the sorts of difficulties that current artists are having to experience in this whole streaming environment.
The Ivors Academy and the Musicians’ Union have told us how bad the situation is for musicians, so we know how bad it is. They have said that 82% of professional musicians have made £200 per year less from streaming. This is totally different from the 1990s, when someone who did sell massive amounts of singles got real rewards. We are coming into the Christmas season, and someone who is lucky enough to have had a Christmas hit in the 1970s or 1980s—there have not been so many recently—will hit the jackpot, because their song will get played again and again and go right to the top of the steaming charts. All these historic artists will once again earn a huge bonus this Christmas season, and all power to them, because these are fantastic songs that we all love, but that gives just an indication of how difficult it is for modern artists to try to make some money.