The “playing live” income stream is non-existent at the moment. But it’s not just artists who are losing out.
Venues also make money by having live music and collection agencies also make money by charging venues a license fee which allows the venues to have live music.
But the collection agencies feel they should be making more money in a pandemic from live performances.
PRS is an organisation in the UK which collects and distributes artists’ royalties. And they thought it was a great idea (a lot of sarcasm here) to introduce a new fee for livestreams because “hey how could they miss out and not get a slice of the pie”.
As the Vice article states;
Livestreams with a revenue below £250 will need to pay a flat rate of £22.50 for this licence, which doubles to £45 for revenues between £251 and £500. This means that for those hosting an online event with a revenue of £250 or less, a minimum of 9 percent will go to PRS.
So do you reckon the independent artists are happy about this cash grab from PRS.
And what makes it worse, artists need to wait at best, six months before they receive any royalties less admin fee from these collection agencies.
And the new tax is basically a punishment to the grassroots artists who would have a small turnover.