SEARCH DATE RANGE

SEARCH TERM OR WORD

‘Music Industry Contributes £6.7billion to UK Economy’ By Rough Trade UK Managing Director, Lawrence Montgomery

 

Earlier this week, UK Music published its annual report on the economic impact of the British music industry, which contributed £6.7 billion to the UK economy in 2022 due to gross value added.

The report also revealed that exports are at £4billion and employment is at 210,000.

Lawrence Montgomery, UK Managing Director of Rough Trade, discusses the role of the independent music industry (stores, artists and venues) in such growth and how additional support is needed to sustain it.

How has the independent music industry contributed to this growth?
“The independent music industry is crucial to this growth. While we can’t speak for everyone, Rough Trade’s own growth in the last year is a testament to this.

“For example, earlier this year, UK reports revealed that record sales reached £116.8 million last year, and our vinyl sales grew by 34 percent vs 2021. As Rough Trade accounts for nearly 10 percent of the UK vinyl market, along with other indie retailers, the surge has seen the market share of indie record shops grow to 28 percent.

“As a result, we’ve seen increased footfall, online retail traffic and a 20 percent year-on-year sales growth in 2023. With more growth projected, this has allowed us to invest in more stores in cities that lack a great record shop.

“And, as a demonstration of customer demand, we’ve been able to put on 745 quality music events over the last year, hosted at our stores in London, Bristol and Nottingham, as well as our outstore venues.

“We were lucky enough to host Lewis Capaldi for four events at one of our outstore venues to celebrate the release of his latest record ‘Broken by Desire to be Heavenly Sent’, which generated over 4,500+ album sales.

“Similarly, we helped Jorja Smith celebrate the release of ‘Falling or Flying’, which generated 4,000+ album sales, including two nights at Outernet.

“Meanwhile, Bombay Bicycle Club joined us for seven events to celebrate the release of ‘My Big Day’, which included six in-store and one out-store event – four of which were karaoke shows that saw the band sign and play BBC classics with the artist as their backing band. This generated over 2,300 album sales.

“Our fans are at the heart of everything we do, and we strongly believe nothing beats the community between independent record stores and their customers.

“The independent music industry is crucial in taking artists from the big, main stages and placing them directly in front of the consumer.

“Seeing an artist play in a small capacity, space/record shop when they might solely be seen playing in front of 1000s gives fans a truly special experience they may not get anywhere else. Whether that's seeing their favourite songs performed in a new or stripped-back way or just the same sweaty live gig, but in a space you'd never expect to see it take place in. These sorts of shows give the fan real value and solidify that in-store gigs at places like Rough Trade, with their live element, can't be replicated or achieved anywhere else.

“Meanwhile, the signing element that tends to happen after these shows also gives the fans something special to take away with them and a memory that they get to keep after the show, like a signed album or photo with their favourite band/artist. 

Why is more support needed to sustain this growth?
“While the recent study shows immense success overall, it does highlight issues surrounding the grassroots end of the market, such as financial pressures that could make this growth hard to sustain.

“For example, a recent statement from Music Venue Trust revealed at least 15.7 percent of independent music venues have closed in the last twelve months in the UK, with hundreds more facing similar fates unless action is taken to save them. This is due to a combination of factors – soaring costs for rent, bills, wages, insurance, equipment, staffing and even safety concerns.

“Without these venues, new talent and indie musicians will be limited in exposure, taking away key performance and networking opportunities, sources of income and ultimately their chances of breaking into the music industry. As such, the music industry is deprived of new talent, which means a massive loss for the independent music industry and, therefore, a reduced contribution to the economy going forward.

“Independent music stores like Rough Trade exist in harmony with grassroots venues, as the platform they give music artists drives demand for the release of their music in physical form, which drives sales and keeps us afloat. 

“This is why we host regular ‘Rough Trade Recommends’ events at our store in East London to showcase around three up-and-coming artists. We’ve had the likes of Goat Girl, Shame and Pip Blom perform, and upcoming shows with Lowertown, Pushpin and headboy soon.

“And we recognise the importance of supporting local talent, too, with The Nottingham and Bristol stores putting on live events in their gig spaces weekly. One we’re particularly proud of is Arlo Parks’ first live show at Rough Trade Bristol before she signed to Transgressive.

“Additionally, we use our online platform to champion artists and new releases. On The Rise is a special curation of new music releases from emerging talent / a spotlight on fresh projects on the cusp of garnering wider praise. Notable artists featured in 2023 include Joanna Sternberg, Anjimile, Ethan P Flynn, Coach Party and The Last Dinner Party. All artists are supported with exclusive extras only available from Rough Trade, from bespoke vinyl pressings to alternate hand-drawn sleeves and Limited-Edition zines, and given dedicated editorial on our website, giving fans a personal overview of the artist/project.

“But while those in the independent music industry are doing the best they possibly can to help sustain the industry’s growth as a whole, to continue adding value to the economy, more support is needed from external factors.

“The independent music industry was valued at over $26.2 billion globally in 2022 and projected to grow, yet government and local funding remains low.  

"Although it was recently announced that £5 million would be invested into independent spaces by the government, this will likely not be enough to save all venues, so further investment is needed to protect them and independent artists.  

“Industry leaders have a responsibility to speak up and advocate for the independent music industry, to spread awareness of financial pressures to increase funding, help them stay afloat and sustain growth.”  

09 May 2025 | Press release

Downtown Music Publishing Appoints Jason Taylor to VP of Business Development

Alongside Taylor’s appointment, Bea Koramblyum steps into an expanded role as Global Head of Business Affairs & VP of Business Development to drive Downtown Music Publishing’s next phase of growth. Downtown Music Publishing (DMP), the preferred music publishing partner for some...more

09 May 2025 | Press release

The British Music Embassy announces two-day UK music showcase at first-ever SXSW London

The British Music Embassy (BME) today announces that it is hosting a two-night music showcase at the first-ever SXSW London, taking place at Devonshire Square (DSQ) from 7-11pm on Monday 2nd and Tuesday 3rd June 2025. The British Music Embassy in London is a collaboration between UK...more

09 May 2025 | Press release

Creative Industries and Politicians Join Forces at Parliament with Urgent Call on Government to Stop AI Firms Stealing Music

Musicians, creative industry leaders and politicians joined forces at Westminster today (Wednesday May 7) to call on the Government to ditch plans to allow AI tech firms to steal their work without payment or permission. Stars from the UK’s £125 billion...more

09 May 2025 | Press release

Flash Survey: UK Businesses Face Economic Strain, Falling Confidence, and Survival Fears says UK Trade Bodies

  Industry Flash Poll Says 64.4% of Hospitality, night time economy and events businesses see a reduction in VAT as a primary ask. A new survey of over 250 businesses across the events, night-time economy, and hospitality sectors has laid bare...more

09 May 2025 | Press release

Music Meets Innovation: Merlin Connect Partners with Nina Protocol to Power Growth

Merlin, the digital music licensing partner for the world's leading independent labels and distributors, announced today that they have partnered with Nina Protocol as part of their Merlin Connect initiative. Nina is a music platform and direct-to-fan marketplace, built to...more

09 May 2025 | Press release

Horus Music Appoints Rich Orchard as Managing Director to Lead Next Phase of Independent Music Growth

Horus Music, the global digital distribution, publishing, and label services company, has announced the appointment of Rich Orchard as Managing Director of Horus Music Limited and sister company, Anara Publishing. This strategic move reinforces the company’s dedication to championing independent...more

09 May 2025 | Press release

Open letter to the attention of Ministers of Culture ahead of the Education, Youth, Culture and Sport Council on 12-13 May 2025

Dear Ministers, We are writing to you on behalf of a coalition of organisations representing the collective voice of hundreds of thousands of writers, translators, journalists, performers, composers, songwriters, screen directors, screenwriters, visual artists, as well as other artists and...more

08 May 2025 | Press release

2025 Mercury Prize moves to Newcastle

  Newcastle Upon Tyne to host first ever Mercury Prize outside of London 2025 ‘Albums of the Year’ Shortlist announced 10th September Award Show to take place at Utilita Arena, Newcastle on 16th October and will be broadcast across BBC platforms All tickets available...more

08 May 2025 | Press release

Andrew Spencer named Chief Operating Officer of AEG Presents Europe

Industry Veteran and Current Chief Commercial Officer at Frontier Touring to Lead European Operations for Live Entertainment Company AEG Presents, a leader in live entertainment, announced today that Andrew Spencer has been named Chief Operating Officer (COO) of AEG Presents Europe....more

08 May 2025 | Press release

Free Party: A Folk History

A DOCUMENTARY BY AWARD-WINNING DIRECTOR AARON TRINDERFREE PARTY: A FOLK HISTORY  THE UNTOLD STORY OF HOW RAVE CULTURE SHOOK THE SYSTEM AND SPARKED A GLOBAL REVOLUTION  FEATURING SPIRAL TRIBE, BEDLAM, CIRCUS WARP, DiY SOUND SYSTEM, YOUTH (KILLING JOKE), COLIN DALE, CHARLIE HALL...more

08 May 2025 | Press release

Bloc Party to be honoured with Ivor Novello Award for Outstanding Song Collection

IN CELEBRATION OF THE BAND’S EXCEPTIONAL SONGWRITING PROWESS ACROSS A PROLIFIC 25 YEAR CAREER The original four members of Bloc Party will receive the award at the 70th edition of the world’s biggest and most prestigious celebration of songwriters and screen composers,...more

08 May 2025 | Press release

BPI In Tune with Sound City

  Sound City hosted the first BPI In Tune with Tomorrow event outside of London Headline interview with Warner Music COO Isabel Garvey setting the scene ahead of a  breadth of expert panels drawn from the music ecosystem, each exploring different aspects...more

08 May 2025 | Press release

Warner Music Group unveils WMG Pulse, giving artists and songwriters instant access to real-time insights

Built by WMG’s in-House Tech Experts, App Aggregates Data Across All Major DSPs and Social Media    Platform in Beta with 100+ Artists and Songwriters Click HERE for Demo   Warner Music Group (NASDAQ: WMG) today announced the beta launch of WMG Pulse, a powerful new platform that...more

08 May 2025 | Press release

AIP to launch UK promoter diversity database

Contributions needed from the sector for pioneering resource. The Association of Independent Promoters (AIP) is calling for contributions to a growing diversity database that will define the spectrum of live music promoters in the UK today. The database will be launched in...more

08 May 2025 | Press release

AIF partners with Stantec to launch Noise Helpline for festival promoters

Santec to host webinar on mysteries and myths around festival noise.   The Association of Independent Festivals (AIF) has partnered with Stantec (formerly Hydrock) to launch a new noise helpline for festival promoters. The helpline will be run by Santec and made available...more

07 May 2025 | Press release

Legendary Blue Note Jazz Club granted licence to open their first UK club in London

  Today (7th May) the iconic Blue Note Jazz Club is proud to announce they have been granted a licence to open their first UK club. Set within the basement of the St Martins Lane hotel in Covent Garden, the licence...more

07 May 2025 | Press release

Amazon Music returns to exclusively livestream Primavera Sound Barcelona

Music fans will be able to enjoy the festival from 5th – 7th June from anywhere in the world Audiences will be able to tune in via the Amazon Music channels on Twitch and Prime Video Click HERE for streaming details   This spring, Amazon Music will return...more

07 May 2025 | Press release

The Dark Arts of preserving Welsh musical heritage in the digital age

  Digital agency, Dark Arts, is harnessing the power of AI to preserve and enhance the digital visibility of culturally significant Welsh music catalogues that are at risk of being lost in today’s algorithm-driven era, where engagement and revenue are dependent...more

07 May 2025 | Press release

Concord Music Publishing signs singer-songwriter Grace Tyler

  Today, Concord Music Publishing announced the signing of singer-songwriter Grace Tyler in her first publishing deal. The worldwide publishing deal, effective immediately, includes Tyler’s catalog and her upcoming releases.  Originally from Frisco, Texas, Grace Tyler attended Belmont University, honing her craft and working with multi-platinum singer-songwriter...more

07 May 2025 | Press release

The MMF and YouTube Music unveil Accelerator's class of 2025

“Accelerator empowers the industry’s preeminent talent developers to do what they do best - develop talent.”     18 talented independent music managers join the 7th edition of our groundbreaking funding and training programme   All will receive grants of £10,000, alongside an...more

07 May 2025 | Press release

Italian Performance Rights Collecting SCF closes its 2024 with total distributions of over 51 million euros

The collecting drives the growth: Italy in global Top Ten  2024 confirms the growth trend for performance rights in Italy: this is demonstrated by the overall data of SCF, the leading collecting society in the sector that in the last year...more

07 May 2025 | Press release

Armada Music Signs Joint Venture Deal with Techno Visionary Joris Voorn

Dutch techno pioneer Joris Voorn has confirmed the release of his highly anticipated new album, set to drop this July—marking his first major project in collaboration with Armada Music   Armada Music, the biggest independent dance music label in the world, is...more

06 May 2025 | Press release

BRIDGE initiative to strengthen the independents' position in the digital ecosystem across markets

  Artists working with record labels have more listeners and income on digital platforms. Low profitability of streaming and high dependence on live performances are challenges to be addressed. Professionalization, industry events and trade associations are key to the development of the Latin...more

06 May 2025 | Press release

Creative industries and growth boosted with new UK-India cultural agreement

  UK's arts and culture, creative industries, tourism and sport sectors are set to benefit from a major new cooperation agreement with India Culture Secretary leading a delegation of cultural leaders and UK institutions to Mumbai and New Delhi this week Agreement to...more

06 May 2025 | Press release

NTIA Welcomes Bluenote License Decision but Questions Police's Role in Defining Culture

  Night Time Industries Association (NTIA), has welcomed the decision to grant a license to the Bluenote Jazz venue in London, following a highly contested process. However, the case has sparked significant concern over the growing influence of policing in cultural...more

06 May 2025 | Press release

Create Music Group Acquires Independent Label Monstercat Expanding Global Reach in Electronic Music and Gaming

Create Music Group (“CMG”), the world’s leading platform for iconic music, announced today that it has acquired Monstercat, one of the most influential independent electronic music record labels in the world. The deal marks a strategic addition to Create’s growing...more

02 May 2025 | Press release

Downtown's CD Baby Appoints Industry Veterans Sean Hallarman and Craig May to Lead Product and Artist Development

In addition to new appointments, executives Jean Mischler and Whitney Thomas step into expanded roles across marketing, revenue, finance, and business operations CD Baby, Downtown Music’s artist direct distribution and music services platform, today announced the appointment of Sean Hallarman as...more

02 May 2025 | Press release

BBC announces programming to mark 40 years since Live Aid

  This July, BBC Two and Radio 2 will mark the 40th anniversary of Live Aid, which took place on Saturday 13th July 1985. BBC Two and BBC iPlayer broadcasts Live Aid at 40, which reveals the behind-the-scenes story of the 1985 concert that brought the...more

02 May 2025 | Press release

Alison Goldfrapp launches own record label A.G Records

New album, Flux, will be released in partnership with Absolute Label Services on August 15. “If you’re lucky enough to have the option, owning your own masters feels like a no-brainer!” - Alison Goldfrapp   Electronic pop star Alison Goldfrapp is set to...more

02 May 2025 | Press release

Integrity First: Merlin Joins Music Fights Fraud Alliance to Protect the Music Ecosystem

Merlin, the digital music licensing partner for the world’s leading independent labels and distributors, announced today that it has joined the Music Fights Fraud Alliance (MFFA), the industry’s united front against streaming fraud and illegitimate activity. By contributing to the goals...more

09 May 2025

  • Tariffs, tours, and trade wars: Why music investment won’t slow down (see Comment)

  • Unintended consequences – the year ahead for streaming (see Comment)

08 May 2025

  • Spotify’s latest update gives users more control over their listening experience (see Digital)

07 May 2025

  • Has music reached peak fragmentation? (see Analysis)

  • How LA is rebuilding the music industry after the fires (see Features)

06 May 2025

  • Ministers reconsider changes to UK copyright law ahead of vote (see News)

  • How Ticketmaster swallowed the live entertainment scene (see Features)

  • Spotify executive on why 'per-stream rate' is one of the most misleading metrics in music (see Opinion)

02 May 2025

  • BPI responds to government’s proposed amendments to the Data Bill related to AI and copyright (see News)

  • ‘AI and intellectual property — a pivotal moment for the UK’s creative industries’ (see Opinion)

30 Nov 1999

    01 May 2025

    • BPI's new Yearbook reveals Country music's surging popularity (see News)

    30 Apr 2025

    • How Live Nation calls the tune for the live music industry (see Features)

    29 Apr 2025

    • How economic volatility will impact US labels’ fandom monetisation push (see Comment)

    28 Apr 2025

    • Spotify is said to be raising its subscription prices across Europe and Latin America (see Digital)

    • Culture Secretary to review the Music Export Growth Scheme (see News)