Royalties Recognition in the UK: What Aussie Artists Need to Know

The UK’s membership in the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (‘CPTPP’) officially took effect 15 December 2024. What does this mean for Aussie artists? Essentially, Australian performers on sound recordings airing in the UK will now be entitled to a neighbouring rights royalty.

UK-based performers who have contributed to a sound recording have long been entitled to receive equitable renumeration when their music is broadcasted on the radio or TV, or played publicly in music venues in the UK. The same applies for Australian performers in Australia. These are known as ‘neighbouring rights.’ This entitlement means eligible performers receive a royalty—generally a 50% share between performers (artists and session musicians). The other 50% is for the rightsholders (aka the copyright owner, which is often a record label).

For more than a decade, Aussie artists/performers have not qualified for this neighbouring rights royalty in the UK, due to the absence of a reciprocal agreement between the British music copyright collective Phonographic Performance Limited (PPL), and local equivalent Phonographic Performance Company of Australia (PPCA).

Since joining the CPTPP, the UK’s Intellectual Property Office has amended its copyright legislation via The Copyright and Performances (Application to Other Countries) (Amendment) (No. 2) Order 2024 to include foreign performers ‘under specific conditions’. This change is now in effect.

The change means Australian artists/performers on sound recordings are now automatically eligible for equitable renumeration where their music is played in the UK on radios, TV, and in public spaces, provided the following criteria are met:

1. That they have a sound recording protected by a copyright (inclusive of sound recordings released prior to 15 December 2024); and
2. That the sound recording is played in public or included in a broadcast on or after 25 December 2024.

Reportedly, the first royalties under the new arrangement will be paid from June 2025, covering airplay in the UK from 15-31 December 2024. For broadcasts and public performances taking place in 2025, payments to Australian performers will be made in December 2025 and June 2026. This aligns with PPL’s usual distribution procedures.

For Australian artists/performers to ensure they get this UK neighbouring rights royalty that they are now entitled to, performers from Australia should register directly, at no cost, with PPL.

This policy shift in the UK joins a growing landscape of equitable remuneration qualification changes across the European Union. Consequently, Australian artists may find themselves qualifying for equitable remuneration in countries across Europe, not just the UK. Artists should sign an international mandate with PPL to ensure they are receiving all the royalty payments they may be entitled to.

On the flip side, as more performers find themselves eligible for their equitable 50% share in royalty payments, recording rightsholders may see a corresponding reduction in the amount of revenue they receive.