Geoff Taylor, Chief Executive of the BPI, discusses the newly-extended Music Export Growth Scheme that promotes British music

14 October 2016 - Press release

British music has enjoyed an astonishingly fertile period over the past decade. Its artists and the labels that support them have dominated consumption at home and grabbed an unprecedented share of the global market – one in six records sold in 2015. The result is that the UK is the world’s leading exporter of music after the US, boosting the country’s balance of payments and reinforcing Britain’s cultural profile and ‘soft power’. It’s no exaggeration to say that music is one of the things many people around the world associate with the UK.

It is easy to take for granted just how much effort and inventiveness has gone into sustaining this run of success – the talent of our artists, songwriters and producers and the business skill and risk-taking of our label sector which nurtures that talent and promotes it to a worldwide audience.

Our record of export success can mask, however, just how challenging it can be for many independent and smaller music companies to compete in an increasingly global market. These labels are vital to the music ecosystem at home and the brilliant music we all enjoy, but typically don’t have the level of resource to fully realise the potential of their artists outside of the UK. What’s more, we’re increasingly seeing grass roots talent adopt a more ‘DIY’ route to commercial success at home – with the UK’s thriving grime community perhaps the best example. But, again, replicating this success in other territories may not always be as easy. 

That’s where the Music Export Growth Scheme or MEGS, for short, comes in. The BPI put the case for this scheme to the Coalition Government, including the Prime Minister, and we were delighted when Government committed to funding the scheme in 2013. It exists precisely to give labels and artists a helping hand at the critical point when they are trying to break into overseas markets. MEGS funding can provide timely extra support to planned promotional and marketing activity that can help build artist profile and fan-bases internationally, ultimately helping to develop their commercial potential and boosting British music exports.

A point underlined by Kristian Davis-Downs, Label Manager of Naim Records, which releases Eska: “The situation labels find themselves in is one where less money is coming back in through traditional sales channels. It’s undoubtedly a challenging time for labels and their affiliated roster. We all want the very best for our artists and MEGS funding offers them experiences and opportunities that are outstanding and, ordinarily, out of reach. It really does make a difference.”

And also by two-time MEGS recipients Public Service Broadcasting, who run their own Testcard Recordings label: “Touring abroad for up-and-coming bands is more challenging than it has ever been. We’re grateful for the support we received from MEGS as it allowed us to take our music to countries we may otherwise have struggled to reach.” 

Yemi Alade-Lawal, Creative Director Afro-Pop Live, who works with MEGS recipient Afrikan Boy, adds: "It is a fantastic opportunity for small labels like ours to build in overseas territories. At the time of the award it represented a chance of a lifetime; using the fund for tour support and much needed promo activities."

It is not easy, free money, however. In fact, only around 20% of all applications on average (typically some 15 of around 70 received each round) are successful in securing grants. Labels and their artists have to make a strong case for a return on investment when applying for funding to the BPI and the MEGS Committee chaired by John Kennedy. That said, to date the scheme has awarded over £1.6m to 107 artists via their labels or music companies (including to six songwriters) over the seven rounds of funding since the first awards were made in the early part of 2014. The funding typically goes into supporting overseas tour and radio promotion, marketing and PR. 

Artists successfully supported to date include 2014 Mercury Prize winners Scottish-based Young Fathers, 2015 BRIT Awards winners from Wales Catfish and the Bottlemen, Mercury Prize shortlisted solo artist Eska, and London-based Electronic duo Public Service Broadcasting. In all, over 100 artists have so far been supported, reflecting a wide range of musical genres and multi-cultural styles, including acts as diverse as grime stars Ghetts and Afrikan Boy, as well as Drenge, Fearless Vampire Killers, Fenech-Soler, Wild Beasts, Imogen Heap, Wolf Alice, Tom Vek, The Wombats and Young Guns, to name a few. 

The BPI has calculated that the artists supported by grants from the scheme have on average yielded an eight-to-one return on the investment so far made in them. It’s this success along with the continuing case made by the BPI that has persuaded the new Government under Theresa May to extend the Music Export Growth Scheme for a further three—four years, taking it up to 2020.

Now funded through the Department for International Trade and Exporting is GREAT, I am delighted that the Government has boosted the scheme by adding up to £2.8m in investment. This has to be great news for our independent sector, including over 370 indie labels that are members of the BPI.  

The Government’s commitment can be taken as an endorsement of the scheme and the vital work it supports, and is also a clear acknowledgement of the importance of British music success. In fact, one could argue our music has a key role to play post-Brexit. The strength of Britain’s music and creative industries are a strategic asset for this country and can act as a powerful international calling card in a world in which new international trading relationships need to be forged.

The Music Export Growth Scheme is OPEN FOR APPLICATIONS until Monday, 7 November 2016. UK-based music companies with an annual turnover of less than £50m and with fewer 250 employees are eligible to apply. For details & to apply, please visit the MEGS page on the BPI website: https://www.bpi.co.uk/megs.aspx or contact BPI’s Chris Tams, who manages the scheme.