PRS for Music Launches New Rates for Music Streaming
Better deal for digital services and safeguards for music creators
PRS for Music today announced the rates for streaming services for its new Online Music Licences which comes into effect on July 1st. After an extensive seven month consultation period with key stakeholders, major & independent music publishers and the wider industry, the new rates were approved by the PRS for Music board on May 20th.
For on demand streaming services, the headline royalty rate will increase from 8% to 10.5% of revenue in exchange for the per stream minimum being reduced from 0.22p (£0.0022) to 0.085p (£0.00085). Similar changes are also being made to the royalty rates and minima for Premium Interactive Webcasting Services and Pure Webcasting Services. The board decision took into account feedback from the consultation process and reflects the changes that have occurred in this part of the digital market place since the Copyright Tribunal’s 2007 decision. The new rates will apply for 3 years.
We believe these new streaming rates will stimulate growth in the digital music market and will benefit our licensees and our members. The Copyright Tribunal established the principle of a per stream minimum to protect creators; maintaining this principle will ensure that writers, composers and music publishers continue to be rewarded every time their music is enjoyed. As new entrants join the market and existing providers expand, music creators will reap the rewards by sharing in the success that their talent is generating. This is a good deal for music creators and for music lovers.
The changes to the streaming rates follow the announcement that rates for download services and services funded by subscription will remain the same. The various Online Music Licences replace the Joint Online Licence which was set by the Copyright Tribunal in 2007 for a 2 year term.
PRS for Music is communicating the news to its membership base and existing licensees who will move to the new tariffs from July 1st.