EU referendum: What Brexit means for the UK music industry

Image: Glastonbury festival, 2014

As reported in TMN last Thursday, the UK music industry was apprehensive about the European Union Referendum. A poll by Music Week found that 91% of respondents thought Brexit would be bad news for the UK music business.

The worries included UK acts losing the copyright protection that the EU put together, more visa issues for tours across Europe, less revenue from an important buyer of UK music, and higher prices for Brit acts selling everything from downloads to merchandise to ticket prices.

There was no hiding the shock when the UK voted to ‘leave’ the EU by a majority of 51.9% to 48.1%.

Record labels trade body the BPI rushed out a statement. “The outcome of the EU Referendum will come as a surprise to many across the music community, who will be concerned by the economic uncertainty that lies ahead and the impact this may have on business prospects,” said its CEO Geoff Taylor. 

"However, the UK public has spoken, and once the short-term political and macro-economic consequences have played out, this decision will mean new priorities for the music industry in our work with Government. We will, of course, press the Government to swiftly negotiate trade deals that will ensure unimpeded access to EU markets for our music and our touring artists.

“Our Government will also now have the opportunity to legislate for stronger domestic copyright rules that encourage investment here in the UK and which will protect UK creators from piracy and from tech platforms siphoning off value through copyright loopholes. We are confident that British music will remain hugely popular across Europe and we will work hard to make sure UK labels are able to capitalise on that demand.” 

Beggars founder Martin Mills said he was “stunned and saddened.” He added. “The Beggars family is, always has been, and always will be, international, with no frontiers. We will continue to find ways to flourish by bringing music and music lovers together across the world."

A similar reaction was felt at the Glastonbury Festival, which had its muddy beginnings as polls closed. Bastille changed the lyrics of Pompeii during their set from "And the walls kept tumbling down / In the city that we love" to “And the pound kept tumbling down / On the weekend that we love”.

Damon Albarn, who joined the 50-piece Syrian National Orchestra For Arabic Music, admitted, “I have a heavy heart today. Democracy has failed us. Democracy has failed us because it was ill informed. And I want all of you to know that when we all leave here, we can change that decision. It is possible.” 

Billy Bragg sighed: “My guess is there’s a lot of young people who woke up this morning thinking, there’s absolutely no way this country would be so stupid to vote us out. You probably thought there’s no point in going to the polling station, I’ll let someone else do that. I’m not here to condemn them, after I made the mistake I got stuck into the fight. So now it’s your job to get stuck in.” 

Foals frontman Yannis Philippakis sported a T-shirt with the slogan "Abuse of power comes as no surprise.” He told the audience, "I know for a lot of people today was a disappointing day but whatever the politics, the sun is out, this is a big day for you, a big day for us - let’s make this special."

In other responses: 

IFPI CEO Frances Moore: "The decision of the UK to leave the EU creates a great deal of uncertainty which could last for a considerable time. In this difficult period, IFPI will continue to work hard to ensure that our members’ interests are best represented on all the issues we deal with."

AIM CEO Alison Wenham: “AIM will liaise closely with our members, other trade bodies and colleagues across the music industry to ensure that the strength and standing of the independent music community in the international marketplace is not diminished by these events.”

Promoter Harvey Goldsmith to Music Week: “I don’t believe it’s going to affect the music business that much because we have to do enough bloody paperwork as it is. With taxes and all that kind of business that we have to deal with on the road in Europe, it’s still exactly the same from a live perspective and I personally hope that we end up with a strong enough leadership who can go in and completely renegotiate a proper deal with Europe now we’re not paying for a bureaucracy that we don’t need." 

Zayn Malik: "It’s very sad to see society so fragmented esp (sic) in terms of regions, generations and class. We need to pull together now to make it work."

Disclosure: “Moving to Mars with Bowie.”

Ellie Goulding: “I truly believe this is one of the most devastating things to happen during my lifetime. I felt a fear I’ve never felt this morning.”

Niall Horan (One Direction): “It’s a sad day. The economic impact that this is going to have is definitely going to make those voters regret their decision.”

European indies body Impala: "Change is on the way, that’s for sure, but one thing is clear. The UK music sector will remain a fundamental player in Europe, which of course goes beyond the EU and we will continue to work hard to ensure that Brexit doesn’t interfere with the ability of European citizens to continue to enjoy UK music and vice versa.

“Breaking borders is what our labels do with their artists on a daily basis and that will continue. We are all Europeans and AIM’s role within IMPALA will remain key - we have so much to achieve together. We are the European Music Union and we will work hard to make it flourish."