UK Music
Sellout events like Glastonbury Festival and mega-grossing stadium shows by Beyoncé, Harry Styles and Blur helped lift the U.K. live music industry to record heights last year, generating 8 billion pounds ($10.3 billion) for the country’s economy, according to new figures published Tuesday (July 23).
Umbrella trade organization UK Music reports that 19.2 million “music tourists” attended live concerts and festivals in the United Kingdom in 2023, up 33% on the previous year. The trade body defines a “music tourist” as someone who has traveled at least three times the average commuting distance for their region or is based overseas.
The £8 billion financial windfall these music tourists contributed to the local economy through direct spending on things like gig tickets, travel, accommodation and food and beverage sales, as well as indirect spending on supply chain businesses such as security and fencing, represents an increase of 21% on 2022’s 6.6 billion pound total.
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The 2023 figure is the highest ever recorded by UK Music since the organization started analyzing music tourism spending a decade ago. That’s despite the number of foreign concertgoers falling fractionally to just over 1 million last year, down from 1.053 million in 2022. However, the total number of domestic music tourists grew 36% year-on-year to 18.2 million, said UK Music, while 62,000 jobs were sustained by live gigs.
On a regional basis, London was the United Kingdom’s most popular destination for attending music concerts, drawing 6.9 million music tourists — up 40% year-on-year — who contributed £2.8 billion ($3.6 billion) in spending. The North West of England, a region which includes the cities of Manchester and Liverpool, was the second most popular destination for traveling music fans, with 2.3 million people visiting for live shows and spending £735 million ($950 million).
UK Music chief executive Tom Kiehl said in a statement that the record numbers “demonstrates the positive impact music tourism has on our towns and cities” but warned that “beyond a handful of very successful musicians the opportunities for many artists are becoming increasingly squeezed.”
“Grassroots music venues and festivals, studios and rehearsal spaces are facing tough economic pressures and it’s vital that the music ecosystem that enables musicians and artists to perform is supported to ensure that everyone — no matter where they live — can have access to music,” added Kiehl.
So far this year, around 50 U.K. music festivals have either been canceled or folded entirely due to rising production costs and changes in music fans’ ticket-buying habits, according to The Association of Independent Festivals (AIF). The country’s grassroots music venues circuit is also having a difficult time, with the Music Venue Trust (MVT) reporting that 125 venues have either shut down or stopped putting on live music in 2023.
For emerging and mid-tier U.K. artists, the increased costs of fuel and post-Brexit requirements for touring carnets and work permits have brought further financial burdens. As a result, UK Music is calling on the newly installed Labour Government to urgently address what it is calling a “cost-of-touring crisis.”
The United Kingdom is the world’s second-largest music exporter and the world’s third-biggest recorded music market behind the United States and Japan. But without action, it risks being overtaken by countries who are more proactive, warns the trade body, which published a 10-point “Manifesto for Music” last year.
“The U.K’s thriving music industry continues to be one of our most powerful global exports and an important driver of economic growth,” said culture secretary Lisa Nandy in a statement accompanying Tuesday’s music tourism figures.
She said the government will “work hard to ensure our creative industries get the support they need to flourish, driving opportunity and economic growth into every community and inspiring the next generation of performers.”
LONDON — Tom Kiehl has been announced as the new chief executive of UK Music, succeeding Jamie Njoku-Goodwin, who left the British industry trade body last year to work for Prime Minister Rishi Sunak.
Kiehl has held the role of interim chief executive at UK Music since Njoku-Goodwin’s sudden exit in September. He has worked at the London-based umbrella organization, which represents all sectors of the United Kingdom’s music industry, since 2012 – initially working as director of public affairs before being promoted to deputy CEO in 2018.
In a statement announcing Kiehl’s appointment, UK Music said it had received more than 130 applications for the role and had carried out an “extensive recruitment process” to find its new CEO.
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“We are entering a critical new era of change for the music industry when the political landscape is also rapidly changing. At this important time, I’m confident Tom is the right person for the job,” said Tom Watson, UK Music Chair, in a statement.
Watson went on to say that Kiehl “will be a tireless advocate for our members and our sector – using his wide range of talents to drive UK Music to even greater heights.”
Kiehl’s promotion to the head of UK Music comes less than two weeks before the U.K. general election on July 4 when the country goes to the polls to elect a new government.
Last month, Kiehl called on the leaders of all the main British political parties to support the U.K. music industry’s role as a “key national asset” that is facing intense global competition.
To help grow the British music industry, which generated £6.7 billion ($8.2 billion) for the country’s economy in 2022 and supports 210,000 jobs, according to research commissioned by UK Music, the trade group wants policy makers to protect creators’ rights from being exploited by AI developers, as well as secure a cultural touring agreement with the EU to address many of the lasting issues caused by Brexit.
UK Music also wants the next government to introduce a new tax credit to increase U.K.-based music production and establish tighter regulations for secondary ticketing platforms.
Kiehl’s extensive experience of working with politicians and government officials means that he is well placed to try and achieve those aims. Prior to joining UK Music, the widely respected music executive worked in the Houses of Parliament for 11 years as a senior advisor and researcher for the Liberal Democrat party. More recently, Kiehl led a successful campaign to change planning laws to better protect grassroots music venues.
“It’s an immense privilege and great responsibility to take on the role of leading UK Music at such a pivotal moment,” said Kiehl in a statement.
The newly appointed CEO said he would continue to work with the organization’s members to lobby government officials for measures that would support the music industry “ranging from strong copyright protections and more music teachers, to key safeguards around AI and greater support for music freelancers.”
“My vision for UK Music is to build on our mission of bringing our sector together to speak with one voice and secure our place as the key organization that fuels the growth and prominence of the UK’s music industry,” said Kiehl. “We must be relevant, representative, and able to deliver for the sector in order to achieve this.”
Increasing competition from other international markets is placing the United Kingdom’s long-held success as one of the world’s biggest exporters of music under threat, warns a new report from umbrella trade organization UK Music.
In 2022, music exports contributed 4 billion pounds ($4.9 billion) to Britain’s economy, according to the organization’s annual This Is Music study, which measures the economic impact of the U.K. music industry across live, record sales, publishing, merch and public performance revenue.
That figure is a 60% rise on 2021’s export total of 2.5 billion pounds ($3 billion at today’s currency rates) by Billboard’s calculations, although UK Music says that changes in the way that it collates data means that direct comparisons with previous years are not an accurate measure of growth.
Overall, the U.K. music industry contributed 6.7 billion pounds ($8.2 billion) to the country’s economy in 2022, up from 4 billion pounds in 2021, based upon the gross value estimates of money generated through music sales, concerts, recording studios, touring and music tourism — roughly equivalent to pre-tax profits and salaries.
According to figures released earlier this year by U.K. labels trade body BPI, the global success of Harry Styles, Glass Animals and Ed Sheeran helped British music exports climb to a record high of 709 million pounds ($910 million) in 2022 — the highest annual total since BPI began analyzing labels’ overseas income in 2000.
Whereas BPI’s numbers are based purely upon label trade revenue, UK Music’s export figures comprise all income generated overseas by British music companies and creators, including recorded music, publishing, international touring by homegrown artists and foreign visitors attending U.K. gigs and festivals (so-called music tourism).
UK Music reports that over 37 million people attended live concerts and festivals in the country in 2022, while the total number of people working in the British music industry last year rose to 210,000, up from 145,000 in 2021 when the coronavirus pandemic was still affecting the sector. In 2019, there were 197,000 people employed across the U.K. music business, states the This Is Music report.
Meanwhile, nontraditional revenue generated by audio-visual projects, such as concert films and biopics, as well as income from music-related TV productions and deals with hardware manufacturers, were up 96% year on year, reports UK Music, which declined to provide financial figures, but said it was an example of a small-but-growing income stream as the industry diversifies.
UK Music interim chief executive Tom Kiehl says the sector’s return to growth after the downturn brought on by the pandemic is welcome news, but cautioned that more support is needed from government if the United Kingdom is to maintain its longstanding status as the world’s second-biggest exporter of music, behind the United States.
“The U.K.’s competitors are increasingly well funded and can often count on far more support from their governments,” says Kiehl. He identified South Korea, Australia and Canada as three rival markets where national governments have invested heavily in music and cultural export offices to help grow their overseas markets.
In response, UK Music is calling upon British policymakers to implement a number of measures to boost growth, including tax credits for music businesses and securing a post-Brexit cultural touring agreement with the European Union.
“Otherwise,” warns Kiehl, “we risk the U.K. being left behind in the global music race.”
The United Kingdom is the world’s third-biggest recorded-music market behind the United States and Japan, with sales of just over $1.8 billion in trade value, according to IFPI’s 2022 Global Music Report.
UK Music chief executive Jamie Njoku-Goodwin has announced he is stepping down after three years at the helm of the British music industry trade body to become director of strategy for Prime Minister Rishi Sunak.
A date has yet to be announced for Njoku-Goodwin’s exit from the organization, although it is expected to take place imminently. UK Music Deputy chief executive Tom Kiehl will take over from Njoku-Goodwin while the search for a new CEO is underway.
Njoku-Goodwin took over as CEO of UK Music in September 2020, succeeding Michael Dugher. Prior to joining the London-based organization, Njoku-Goodwin worked in politics, serving as a special adviser to former cabinet minister Matt Hancock and the department for Digital, Culture, Media and Sport.
The first two years of Njoku-Goodwin’s time at UK Music, which represents all sectors of the United Kingdom’s music industry, coincided with the COVID-19 pandemic and saw him campaign for government funding to help prop up the business at a time of national lockdowns and the shutdown of live shows.
In conjunction with other music trade groups, UK Music also lobbied the government to remove barriers to touring in Europe brought about by the country’s exit from the European Union. Those barriers — many of which still exist — include new restrictions for U.K. artists and crews entering Europe (and vice versa for European acts playing the United Kingdom) and increased production costs due to cabotage, carnets, visa and work permit charges.
A recent focus for UK Music has been ensuring that creators and rights holders receive effective protection from artificial intelligence’s (AI) transformative impact on the industry.
Last year, Njoku-Goodwin strongly criticized what he referred to as “dangerous and damaging” plans by the British government allowing AI developers to freely use copyright-protected works, including music, to train their systems without the need for creators and rights holders to provide permission.
Speaking out against the proposals, which were met with a fierce backlash from across the music and creative industries, Njoku-Goodwin — who sits on the board of the London Philharmonic Orchestra — said they “would give the green light to music laundering.”
After further consultation with representatives of the music and media industries, the government announced that it was shelving the proposed text and data mining exceptions in February.
Other issues that UK Music has campaigned for in the past three years include music education and improving diversity and inclusion throughout the industry. The organization has also continued to regularly produce reports on the health of the U.K. music business, including last month’s “Here, There and Everywhere” assessment of the country’s live sector.
“The U.K. music industry is one of this country’s great national assets, and it’s been a privilege to represent it for the past three years,” said Njoku-Goodwin in a statement announcing his departure. “I’m delighted our sector is in much better shape now to take on the challenges and opportunities it faces in the future.”
Paying tribute, UK Music chairman Lord Watson said Njoku-Goodwin had “played a key role” in helping the industry get back on its feet after the struggles of the pandemic and called him “a passionate advocate for our sector.”
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