"A pivotal moment for the UK music industry": UK music generated a record £8bn for the economy in 2024, but challenges from AI and Brexit remain

The UK music industry experienced a record year in 2024, growing 5% versus to 2023 and adding £8bn to the British economy.

Although not quite as jam-packed a year as 2025, 2024 saw major tours for the likes of Taylor Swift, Bruce Springsteen, Liam Gallagher and Take That, as well as album releases from popular artists like Coldplay, Idles and The Last Dinner Party, which undoubtedly helped the sector reach new fiscal heights.

UK Music's annual industry report, This is Music 2025, took a deep dive into exactly how the business fared last year, analysing employment stats, revenue from international sales, and overall contribution to the country's GDP to help paint a more complete picture.

Exports (which include all sales of UK music to overseas residents) saw a notable increase in 2024, rising 5% to £4.8 billion, thanks in part to the international success of the likes of Charli XCX's Brat and Lola Young's Messy.

Employment also rose by 2% to the equivalent of 220,000 full-time positions, whilst PRS for music paid out a record £1.02 billion in royalties to its members - an 8.1% increase on last year's payouts, and the first time UK artist royalties have surpassed a billion.

“The UK music industry remains one of our greatest international success stories," says the Foreign Secretary, Yvette Cooper MP. “Every year, we see more new artists from Britain becoming global stars, and our existing world-famous musicians reaching new heights, all of them adding to the incredible heritage of creativity, talent and genius that has defined UK music throughout our history."

However, UK Music is keen to point out that the industry still faces its challenges, with CEO Tom Kiehl warning: "In recent years, the music industry has enjoyed double-digit annual growth. That growth has now halved, indicating a levelling off of the post-pandemic boost, as well as other underlying issues set out in this report. If problems are not addressed, then future growth cannot be guaranteed."

The report identifies a few key areas where the industry is feeling the most pressure, including its slowing growth rate, ongoing threats to grassroots venue, and an increasing length of time it takes emerging artists to find success.

Unsurprisingly, musicians' incomes were found to be somewhat unstable, proving particularly vulnerable to the cost of living. Although the average income of musicians making a living solely from music sat at £30,000 a year, 43% of respondents still earned less than £14,000, with many turning to other jobs to make ends meet.

The industry's biggest concerns, however, seem to focus on the role of AI and the impact of Brexit on touring. In a survey conducted between March 20th and June 12th 2025, UK Music spoke to 1306 music creators, including songwriters, musicians, DJs and producers, and found that 90% wanted some form of legislation to protect their income from AI.

Meanwhile, 32% of respondents reported that their livelihood had been affected by the UK's departure from the EU - a 4% increase versus the year prior - whilst 95% of these respondents reported decreased earnings as a direct consequence (8% more than those reported in 2023).

"Despite UK music’s successes, we are aware that the industry faces real challenges", says Yvette Cooper. "The grassroots music sector, which nurtures the talent that goes on to achieve global success, is facing pressures that risk holding back the next generation of artists, while touring barriers make it harder for those artists who have enjoyed success at home to go to the next level and reach an international audience."

“We are committed to working with our European partners to make it is as easy as possible for British artists to perform their music on the continent. The Government’s Music Growth Package – announced this year – will provide up to £10 million annually over three years to support touring, performance, mentoring and export opportunities for emerging talent to help them break through at home and abroad."

Its a start, but Kiehl firmly believes the government needs to go further. "While it is brilliant news that the Government now acknowledges music as a high-growth sub-sector, ultimately [it should] be judged in terms of the progress it makes in regulating artificial intelligence and unlocking EU touring."

“The status quo on these two big issues is currently tilted against music’s interests, with new survey data on both AI and EU touring evidencing why we need the balance to swing back in our favour."

UK Music goes on to suggest a number of steps the government should take to further support the industry, including negotiating visa agreements with both the EU and US, legislating to protect artists from the adverse affects of AI, and setting up of a music export office (a step that countries like Canada, South Korea and Australia have already taken).

“This is a pivotal moment for the UK music industry", notes Kiehl, who remains hopeful that the music industry can overcome the challenges it faces. "Let’s come together to make sure we realise our full potential.”