PRS for Music has delivered significant growth in revenues in 2021, with a 22.4% increase in overall revenues to £777.1 million, on a constant currency basis.

PRS for Music says that the year’s highlight was a 45.6% (£83.9 million) year-on-year increase on a constant currency basis in royalties collected from music played online, to £267.8 million, representing a more than 50% growth since 2019.

Throughout 2021 there was a significant increase in revenues from music streaming platforms such as YouTube, and Apple Music. Music streaming accounted for the largest proportion of online revenue in 2021, contributing £225.5 million to the overall online income, up 42.5% (£67.2 million) since 2020, and 45.5% (£70.5 million) since 2019.

Again, reflecting the rapid growth of the online market, revenues from video-on-demand platforms have almost doubled during the last two years, increasing by 50.7% (£11.6 million) since 2020, and 94.9% (£16.8 million) since 2019. PRS for Music says that this consistent upward trend in the market is being driven by increasing numbers of subscribers, increased pricing and offering from existing services, and new consumer services and products entering the market.

In 2021, PRS for Music secured a new licence with Disney+, and renewed agreements with Apple TV and Netflix, ensuring the flow of royalties for composers and classical reworkings of some of PRS for Music’s most popular catalogue.

International royalty income outperformed predictions, yet still fell by 2.5% year-on-year to £242.4 million. However, on a constant currency basis, adjusting for changes in currency values over the year, revenues increased by 2.1% (£4.9 million) compared to 2020.

While restrictions and lockdowns differed from territory to territory, most faced similar adverse financial downturns due to COVID-19 in 2020 and 2021. Royalties from North America were impacted to a lesser extent, as the nature of restrictions varied from those in the UK and public performance is generally a smaller percentage of royalties collected. Asia Pacific and Latin America were the most heavily impacted overseas territories, primarily due to stringent COVID-19 restrictions, such as a wholesale ban on music played publicly in Singapore.

Revenue from linear UK broadcast also remained relatively stable, increasing 1.5% (£1.9 million) year-on-year to £129.3 million. After a difficult 2020, commercial radio showed strong signs of growth, with royalties growing by 12.6% year-on-year and exceeding pre-pandemic levels by 2.2%.

Public performance revenue overall, which, as well as live music events, includes music used in business premises, shops, cinemas, pubs, clubs, hotels, and restaurants, amongst others, saw a significant 59.6% (£51.4 million) uplift year-on-year to £137.6 million, despite the UK being in lockdown for over five months of the year. Though a welcome return of an essential revenue stream for music creators, total revenues were still down 38.1% (£84.6 million) compared to 2019.

A more than 100% year-on-year increase was recorded in Pubs & Clubs and Hotels & Restaurants, as many businesses across these sectors started to re-open.

2021 saw further falls in royalties from the Live sector, declining 29.2% (£3.3 million) year-on-year to just £8 million. This represents a total reduction of 85.2% (£46 million) since 2019. There was an 84% decline in the number of live performance setlists reported to PRS for Music in 2021, falling from 124,000 in 2019, to 19,300. However, PRS for Music says that 2022 has begun with renewed optimism for the live music industry. To read PRS for Music’s press release in full, click here.