MUSIC’S £4.1 BILLION CONTRIBUTION TO THE UK ECONOMY - UK MUSIC INDUSTRY CONTINUES TO GROW AND OUTPERFORM THE WIDER ECONOMY
Music’s economic contribution to the UK in 2014:
• 2014 saw a £4.1bn contribution by the music industry to the UK economy in GVA (Gross Value Added).
• The sector once again outperformed the rest of the British economy, with growth of 5% year-on-year (From £3.8bn in 2013)
• 117,000 full time jobs provided within the music industry. The vast majority of which are individuals working in its creative heart. Composing, creating, recording and shaping the future of music. The musicians, composers, songwriters and lyricists alone contributed £1.9bn to the economy.
• Music exports contributed £2.1bn in revenue. This is over half of the industry’s GVA – well above the economy-wide ratio of around 30%.
• Export growth in the recorded sector was an impressive 17% in 2014, reflecting the UK’s status as the second largest provider of repertoire in the world. This was bolstered by the global success of UK artists like Sam Smith, Ed Sheeran, One Direction and Pink Floyd. In 2014 one in seven of all artist albums sold across the globe were by British artists, whilst five of the top ten selling albums were by UK acts.
• The live music sector saw the biggest area of growth in both GVA and employment in 2014. This is as a result of almost 26.7 million visits being made to UK live music events last year. In 2014 live music tourism contributed £3.1bn to the UK economy.
UK Music Chief Executive, Jo Dipple said:
“2014 proved to be another hugely successful year for British music. The sector outperformed the rest of the UK economy and grew by 5% year-on-year. Music contributed a staggering £4.1bn to the UK economy, and exports generated £2.1bn. The UK’s cultural footprint and soft power were driven by the global success of artists like Sam Smith, Ed Sheeran, Pink Floyd, Ellie Goulding, One Direction and Calvin Harris. Now in its third year, Measuring Music helps show the true weight of our commercial music sector and the scale of its global reach and impact. It also helps us articulate just how culturally important the British music industry and the 117,000 people it employs are to our nation. UK Music will continue to work with Government for the best possible future for every part of our varied and stunningly diverse industry.”
UK Music Chairman, Andy Heath said:
“The sector is growing again, and that is thanks to the recognition and adoption of new technology and the continued power of a vibrant live music sector. We continue to lead the world in song writing, composing, production, recordings and live performances. The UK is also the second largest provider of musical repertoire in the world thanks to our unique ecosystem that helps build and nurture both creative and commercial opportunities across all areas of the industry.”
Culture Secretary, John Whittingdale MP said:
“Our artists continue to dominate the global charts - and shows from the Royal Ballet and Rod Stewart to the LSO and Status Quo, sell out concerts across the globe. In fact, many people around the world first learn about this country through one of our bands. Our music industry alone contributes more than £4 billion a year to the UK economy. It creates wealth and jobs as well as providing entertainment to millions. UK Music’s Measuring Music is extremely useful in describing the economic impact of commercial music. Its publication coincides with a roundtable meeting that I am hosting with a wide range of representatives from across the music industry to discuss how we can ensure that British music remains at the top of the charts. As Secretary of State, I want to do all I can to ensure that British music continues to thrive.”
This study was carried out by Jonathan Todd, Chief Economist BOP consulting on behalf of UK Music and with peer reviewing from Oxford Economics.
2015 is the third edition of the report, which was first published in 2013.
To download the full report methodology click here