Post date: Aug 04, 2011 4:53:4 PM
The British music industry declined by 4.8 percent in 2010, as spending on records and live performances dropped, but exports showed strong growth.
UK-MUSIC REPORT - Its produces some of the world's most popular artists.
But the British music industry declined in 2010.
PRS for Music collects royalties on behalf of 80,000 songwriters, composers and music publishers in the UK.
Its latest report says revenues dropped by 4.8 percent to 3.8 billion pounds last year.
Will Page is chief economist at PRS for Music.
Will Page, PRS for Music cheif economist, saying
"We should appreciate that we're just coming out of the deepest recession of a generation and that means there's not a lot of money around which means consumers are making tough choices when it comes to their entertainment budget so you've seen recorded music take a bit of a hammering in the fourth quarter of last year, it was a bad Christmas quarter and the Christmas quarter is obviously critical for the overall calender year of recorded music."
For the first time in a decade, consumers spent less on live music.
PRS says big name artists feared they couldn't fill large stadiums so played smaller venues instead.
Senior PRS economist Chris Carey.
Chris Carey, Senior PRS for Music economist, saying:
"You'll see that live, interestingly this year, was down about 6.8 percent and it's really important to understand that's a dip in revenues. Next year we're expecting growth again. It was just that there were not enough stadium bands on the road in 2010 to compete with 2009 which was a huge year for stadiums."
More than 700 music festivals are held in the UK each year.
PRS says the events, like Glastonbury, continue to be a popular choice for fans wanting to see dozens of top acts over few days.
Greg Parmley is editor of IQ magazine.
Greg Parmley, IQ Magazine Editor, saying
"It's about providing good value, it's about providing entertainment as well and with a successful festival you've got all of those things that are all wrapped up in one great event and I think that's why you're seeing the appetite for festival going and festival culture bigger than it ever has been before."
London singer Adele has found success around the globe.
While revenues are down, exports of music from the UK are increasing, and growth in this areas is three times that of the United States.
Andy Heath is director of Beggars Group, whose artists include Adele.
Andy Heath, Beggars Group director, saying
"Well I think any music company the same as with any company in a modern economy has got to be lean and got to be thoughful and got to be relatively prudent but at the same time maintain a proper level of investment in new talent."
PRS says business-to-business licencing of music was upmore than two percent in 2010.
It's hoped the industry's overall revenue will be higher in 2011, thanks in no small part to the popularity of a stadium tour by boyband Take That.
Andrew Potter, Reuters