UK government committee calls for streaming reform with “optimal rate” for songwriters

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report on creator renumeration that directly addressed streaming. The inquiry into the economics of streaming has heard evidence from industry professionals over the last six months, including Hipgnosis’ Merck Mercuriadis, MPA CEO Paul Clements and VV Brown and others.The new report stated: “As new means of consuming creative content have become the norm, creators across the sector have experienced persistent declines in their royalties and residuals.“Royalties can provide income smoothing, financial certainty, greater career flexibility and support during retirement for those who receive them.

Royalties have been depressed by digital distribution in the UK, which pays out less to creators (if at all) compared to other modes of distribution.”The committee called for “fundamental reform” in the way streaming royalties work and recommends a revenue split between recording and publishing rights.

It urged that a consultation should take place to “incentivise an optimal rate for publishing rights in order to fairly remunerate creators for their work”.Dame Caroline Dinenage MP, chair of the CMS Committee, said: “Many of our talented actors, writers, composers and singers are failing to share in the global success of the UK’s creative industries as the sector struggles to navigate a perfect storm caused by everything from the emergence of AI through to the rapid changes in the way content is consumed.“If creators are no longer to be the poor relations, the government needs to play catch up by plugging the gaps in outdated copyright and intellectual property regulations and ensuring that there is a champion for the rights of freelancers, who make such a vital contribution to their industries.“Since the Committee called for a.