In connection with streaming becoming the music industry’s largest revenue stream, the UK’s Department for Digital, Culture, Media & Sport (DCMS), the authority responsible for culture and sport in the country, now announces that they will conduct an investigation into the extent to which artists and songwriters adequate compensation, reports BBC.
The investigation will begin in November and will include industry experts, artists and record companies as well as the streaming platforms themselves and look at how much the current structure risks damaging the music industry in the long run.
In the past, artists have repeatedly noticed that they have to pay small sums even for millions of listens. An extreme example that is being held up is the violinist Tamsin Little, who says that she received around SEK 150 for between five and six million streams over six months.
According to the BBC, the compensation per gig should currently be around:
0.0059 pounds, or 0.068 kronor, for Apple Music
0.002-0.0038 pounds, or 0.023-0.043 kronor, for Spotify
£ 0.00052, or SEK 0.0060, for Youtube.
The compensation amount is then divided between record companies, songwriters and artists. Typically, artists get 13 percent in the end.