Specific tax incentive schemes for music production or composition are common in other countries with strong music sectors notably France, many US and Canadian states, Australia and Ireland. The UK currently has no such incentive. This puts the UK at a competitive disadvantage.
In response, UK Music is developing proposals for a tax credit that would incentivise investment in the next generation of world class music talent in the UK, and encourage inward investment into capacity building, professionalisation, investment and growth that would be especially useful to our large number of SMEs, microbusinesses and sole traders.
This would correct existing market failures within the UK sector, help re-capitalise COVID-19 stricken businesses looking to bounce back, boost the attractiveness of investing in UK based content against our international competitors, support new UK talent and incentivise activity in all parts of the UK commercial music sector.