UK music industry tops £8 billion for economy but future growth is uncertain
UK Music confirms record contribution in 2024 while warning that momentum is slowing.
The latest This Is Music report from UK Music shows that the UK music business tipped over £8 billion in gross value added (GVA) in 2024 – a strong sign of its enormous contribution to the economy. Exports also climbed to a high of £4.8 billion, while the sector now supports the equivalent of 220,000 full-time jobs. But beneath the headline figures, UK Music warns of deeper risks that could stall future growth.
The financial contribution of music to the UK economy grew by 5% year-on-year, but, according to the report, that growth rate is much lower than in recent years. For context, in 2023 the industry’s GVA leapt by 13%, and exports surged by 15%, as Music Ally points out.
In the words of UK Music CEO Tom Kiehl, “In recent years UK Music has reported that the music industry has enjoyed double-digit annual growth … That growth has now halved … as well as other underlying issues set out in this report.”
As the post-pandemic bounce may be fading, and the post-Brexit impact on freedom of movement becomes painfully apparent, without urgent action, future growth cannot be guaranteed.
Complete Music Update (CMU) identifies four major issues that the report calls out for undermining the industry’s long-term health.
- Longer artist development: It’s harder than ever for artists to reach their “breakthrough moment.” UK Music notes a lengthening development cycle, meaning many musicians now work for longer before seeing major success.
- Strain on grassroots music: Recording studios and grassroots venues are under real pressure. Rising costs for recording and touring hit emerging creators especially hard. Meanwhile, venue closures continue to threaten the foundations of the live-music ecosystem.
- AI risks: Generative AI is increasingly a concern. According to the report, many creators want stronger safeguards to prevent unauthorised or uncredited use of their music, with 90% of respondents supporting this notion.
- Export barriers: Brexit-related bureaucracy looms large, and the “picture is still bad and is getting worse.” Around 32% of surveyed creators say they’ve been affected by Brexit and EU touring limitations, and 95% have experienced a decrease in earnings.
To counter these risks, UK Music is pressing the government for decisive action. They want laws that force AI companies to declare what music they’ve used to train their models, and ensure artists are fairly compensated. Additionally, UK Music is urging a reciprocal visa deal with the USA for artists and crew, and an agreement with the EU to remove visa/work-permit barriers. As Tom Kiehl puts it, “This points to the need for urgent action … If problems are not addressed, then future growth cannot be guaranteed.”
UK foreign secretary Yvette Cooper has also weighed in, stating that the government is “committed to working with our European partners to make it is as easy as possible for British artists to perform their music on the continent.” The government’s Music Growth Package, which is a £30 million investment to support emerging British musicians, is a step forward – but Kiehl argues more structural change is needed.
The UK’s music industry is a global powerhouse. Its £8 billion contribution helps fuel the economy, supports hundreds of thousands of jobs, and drives international trade. Yet, this success is not invulnerable. Without action on AI, visa reform, and grassroots support, the foundations of this creative ecosystem could be weakened.