PPL delay proposals for recorded music fee hike

By Luke Nicholls

- Last updated on GMT

Related tags Bbpa chief executive Inflation

Phonographic Performance Limited have delayed the initial proposals to increase fees
Phonographic Performance Limited have delayed the initial proposals to increase fees
The British Beer & Pub Association (BBPA) and other industry trade bodies have succeeded in halting proposals for huge fee rises in the playing of music in UK pubs and nightclubs.

Following strong, widespread opposition to increase fees under the Specially Featured Entertainment (SFE) tariff, Phonographic Performance Limited (PPL) have today delayed the initial proposals.

“I welcome PPL’s postponement of this process,” said BBPA chief executive Brigid Simmonds. “This does leave room for more dialogue in the months ahead. The BBPA will certainly use this opportunity to make the case for pubs - but there is still no case for excessive fee increases or a more complex tariff system.”

Significant increases

Over the past three decades, the SFE Tariff has worked well for all parties. This time around, PPL have argued that the value of music is too undervalued, and proposed significant increases - ranging from 1,500 per cent to over 5,800 per cent depending on the type of venue and usage.

As a result, the BBPA, the Bar Entertainment & Dance Association of Great Britain (BEDA), the British Hospitality Association (BHA), and the Association of Licensed Multiple Retailers (ALMR) united to demonstrate their opposition to the fee hikes, sending an official submission to PPL​.

Following initial responses, PPL has written to UK licensees saying it envisages a ‘further substantial period of dialogue with all sections of the industry before any conclusions are reached - no revisions of the current SFE Tariff (other than the customary annual inflation adjustment) will be implemented until 1st January 2013 at the earliest.’

Number of meetings

The results of the consultation process will be further considered at what is likely to be a number of meetings between PPL and the trade bodies.

Simmonds added: “The BBPA has arranged a meeting with PPL alongside other trade bodies and we look forward discussing these issues with them.”

PPL will send out another letter to licensees once a final decision has been made.

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