About tariff consultations

Our consultation process

PRS for Music aims to ensure that our charges are fair to both music creators and music users.  We have more than 40 tariffs, reflecting the different needs of music users.

Wherever possible, we agree our charges with national trade associations and representative bodies.  In some cases, the independent Copyright Tribunal has been asked to make a decision.

The majority of our tariffs have been agreed with trade bodies (or similar) or set by the Copyright Tribunal.

What is a consultation process?

Different market sectors, and their music use, are always changing.  From time to time, we need to review our tariffs to reflect these changes. This may involve changing existing tariffs or introducing new charges.

To review or introduce a tariff, we use a consultation process – inviting customers and their representatives to give their views on our charges.

A consultation process allows PRS for Music to:

• provide information about any tariff review
• gather information about music use and the value of music use for that market sector
• explain any proposed changes and the impacts on customers

A consultation process allows music users to:

• provide information about how they use music and the value of music use to their business or organisation
• comment on the current charges
• comment on any proposed changes
• put forward alternate viewpoints and suggestions

Our consultation process

Depending on the type of change being made, PRS for Music may issue a notification or conduct a consultation.

There are four types of changes:

Annual inflation adjustments: Most of our tariffs include an annual adjustment related to inflation.  Where this adjustment applied, the details are included in the tariff document.

Cosmetic changes: From time to time, we make changes to tariffs that do not affect the amount being charged to customers.  Often these changes are intended to make the tariff clearer or remove obsolete charges and/or definitions.

Minor changes: Minor changes include changes that may impact the amount customers pay to PRS.  In these cases the changes could be reductions or small increases, or impact a small number of customers.

Major changes: All other changes will be considered major changes and are subject to a full consultation process.

Decreases do not require any notification or consultation.

Note: tariffs that have been set by the Copyright Tribunal may be subject to different processes as defined by the Copyright Tribunal. 

What happens as part of a consultation?

Because all our market sectors are different, consultations are tailored to meet the needs of the particular tariff review.  There are normally four stages:

Exploratory: We usually start a review by gathering information about music use in the relevant market sector and conducting any research required.

Consultation with representative organisations: PRS for Music will identify relevant representative organisations and invite them to discuss the tariff.  In some cases, the organisation may decline this invitation.

Customer Consultation: PRS for Music sends a notice of consultation to all affected customers (existing licensees), normally inviting them to review consultation documents on our website.  These documents could contain information about what has been discussed and agreed with the representative bodies.

Implementation: Once we have reviewed and considered all the responses to the consultation, PRS for Music will publish the outcome of the consultation, and a revised tariff if appropriate.

Some examples of our consultation process in action:

In 2006, we consulted with all schools (or the local authority where relevant) on changes to our tariff for schools.  The result was a better value charge, reducing administration for schools and allowing unlimited music use.

In 2008, we consulted about our charges for music use during sports events.  A consultation document was sent to all affected customers and we negotiated directly with major national sports bodies.  The result was a new tariff, fully agreed, making sure our members receive a fair payment where their music is played and improving the accuracy with which those payments are made to music creators.

NOTE:  PRS for Music is not obliged to run a consultation process but we believe it is good practice to do so. PRS for Music reserves the right to implement urgent changes without using the consultation process where there is a demonstrable business need, for example, to meet legal requirements.