British artists and managers slam PRS for Music's 'unviable' livestream rates

By Emmanuel Legrand

PRS for Music's proposed tariff for livestreamed events has come under attack from the Music Managers Forum (MMF) and Featured Artists Coalition (FAC) in the UK.

  The two organisations claimed in a letter to PRS for Music that the new tariff is "unviable." While the fees agreed in 2018 call for 4.2% of gross ticket revenues for concerts and 2.5% for festivals, PRS's livestreaming tariff calls for a fee set between 8% and 17% of gross revenues.

  Reads the letter: "A starting rate of 8% of gross ticket receipts — rising to 17% of gross ticket receipts — will make livestreaming unviable for both the smallest emerging artists and the biggest superstar acts. By comparison, the PRS tariff for a live in-person concert is 4/4.2% of gross ticket receipts (less VAT). This is a staggering disconnect. A ticket is a ticket."

Arbitrary terms

  It continues: "Even worse, these seemingly arbitrary terms have been determined without consultation, and with an intention that they be applied retrospectively — a decision that will add to the grave financial distress facing artists and their wider teams especially in the midst of a pandemic."

  The signatories agree that "songwriters must be compensated and livestreams licensed properly. Indeed, the vast majority of our members are songwriters or their representatives. But in a year when live shows have effectively shut down, and with more uncertainty ahead, livestreaming has presented artists with one of their few opportunities to perform and connect with their fans."

An evolving scheme

  It concluded: "For the sake of all artists, songwriters and the wider industry, it is crucial that this new format is allowed to grow and thrive. Charging artists up to four times the live rate strangles rather than nurtures this innovation."

  PRS for Music said in a statement to MBW that “the proposed pilot licence scheme is still evolving.” 

  The society added: "As conversations with our partners are active and ongoing, it would not be right for us to provide further detail or comment at this stage while we await their assessment and feedback.  “Of course our primary role is to protect our members’ rights and to ensure they are paid fairly for their work, which is more important than ever now. We hope that these conversations will progress quickly.”