UK music industry warns growth threatened by AI, Brexit

Britain's music industry contributed £8 billion ($10.5 billion) to the UK economy in 2024, but the effects of Brexit and AI have clouded the sector's outlook, an industry report showed Wednesday.

UK tours by Taylor Swift and Take That helped lift the industry's contribution to the UK economy last year, according to the annual report from UK Music, an umbrella organisation for the industry.

Music exports were also boosted by the international success of artists such as Charli XCX and Lola Young.

However, annual growth was slower than the double-digit increases recorded in the immediate aftermath of the Covid pandemic, the report said.

UK Music's chief executive Tom Kiehl warned that the industry faced a number of challenges, pointing to the "need for urgent action".

He said that the UK government would be judged on the "progress it makes in regulating artificial intelligence and unlocking EU touring". 

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The impact of Brexit, such as through increased touring costs, red tape and fewer EU clients making recording studio bookings, is "still bad and is getting worse", the report said.

Elsewhere, two-thirds of music creators surveyed by UK Music said that AI poses a threat to their career.

Ninety percent of British music creators said protections should be in place to stop their work being used without permission or payment.

The UK government plans to make it easier for AI companies to access data by introducing a copyright exception for commercial AI training with its Data (Use and Access) Bill.

Under the proposed law, companies developing AI models would not need permission from creatives to access certain content -- a plan that has provoked a fierce backlash from the cultural sector.

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