Speaking on behalf of the UK’s community of composers, songwriters and music publishers, British Music Rights will enter today’s consultation with four guiding principles.

These are:

1. Composers, songwriters and music publishers want their works to be heard and experienced by as wide an audience as possible
2. Music has a value and creators should be paid when their works are consumed
3. Increasingly, licensing is the most effective process for ensuring that 1. & 2. are achieved, particularly in a digital environment. We encourage licensing to any commercial service based on music or that derives value from the use of music 
4. For those rare cases where licensing is not possible, we will proactively offer alternative solutions (as reflected in our stance on format shifting)

With this in mind, British Music Rights will be proposing specific changes to the following recommendations:

1.   Recommendation 8: Introduce a limited private copying exception by 2008 for format shifting for works published after the date that the law comes into effect. There should be no accompanying levies for consumers.

Format shifting from CDs to MP3 players is a fact of life. The law formally prohibits this, but in practice the music industry has never sought to prosecute anyone for doing it.

The government now wishes to clarify the law by introducing an exception to copyright.

However, under EU law, national governments are obliged to consider “compensation” for rights holders to accompany such an exception. This is the norm throughout Europe, where creators are reimbursed from the profits of those recordable media manufacturers who benefit directly from their works. 

At present, the recommendation fails to bring such companies into the equation – concentrating instead on the relationship between rights holders and consumers, and a perceived lack of “significant harm” when format shifting occurs.

We would advise a change of focus. The real issue here is with the continuous developments in technology that enable the copying and distribution of music - regardless of what the law does and does not permit –, how we can realise the
value of creative content that drives those developments and how, ultimately, it can benefit consumers.

The technology and content sectors are working increasingly in tandem, and many progressive business models (see note 1) already involve direct partnerships between rights holders and technology companies (mobile operators, ISPs, device manufacturers, consumer electronics manufacturers, online businesses). 

Where such partnerships have broken down, or one side benefits at the expense of the other, the effects have been detrimental to the entire market – for instance, Digital Rights Management and a lack of interoperability between single track music downloads, services and devices.

When they have flourished, it can be to the benefit of all parties - and, most significantly, to the end consumer.

Feargal Sharkey:  “Copyright is forever evolving. Particularly so in the digital age, and it is vital that a balance exists that encourages technological innovation and benefits consumers, while also compensating the creative talents of songwriters, composers and performers. That copyright continues to function and support the latter group is essential – both morally and financially. Their creative endeavours have fuelled the success of many new and emerging digital services.

“I’ve never met a writer or performer who didn’t want their music to be experienced by as many people as possible; likewise, few would argue that songwriters and performers shouldn’t be able to earn a living from the value created by the use of their music. If creators can not earn a living, the consumer will ultimately lose out - because there will be no more great music made.”

We will therefore propose that:

• Any exception for format shifting is tightly-drafted – covering only personal and legitimately-purchased CDs as recommended by Gowers, transferred for personal, private and non-commercial use
• UK songwriters and composers are compensated similarly to their European counterparts, bringing the UK into line with EU law and so as not to jeopardise a vital revenue source for songwriters and composers across Europe
• The value of music in stimulating sales for manufacturers of recordable media is recognised
• Compensation is paid by manufacturers of recordable media, and not by consumers – if government does not like levies, we will propose alternatives

2. Recommendation 12: Create an exception to copyright for the purpose of caricature, parody or pastiche by 2008.
     
BMR believes that such an exception is unnecessary, and already covered by existing copyright legislation

• There is little evidence to suggest that the UK does not have a thriving culture of caricature, parody and pastiche. Lord Triesman himself pointed out that a great deal of British humour has long been based on parody
• Copyright has not blocked these developments and licensing has worked well in this area
• In the absence of strong moral rights the proposed exception threatens to undermine legitimate commercial uses of the works subject to caricature, parody or pastiche and to override the economic and moral interests of creators 

3. Recommendation 2: Enable educational provisions to cover distance learning and interactive whiteboards by 2008 by amending sections 35 and 36 of the Copyright, Designs and Patents Act, 1988 (CDPA).

BMR fully supports access to knowledge and welcomes the continued take up of distance learning. However, the opportunities for rights owners to receive compensation under licensing schemes operated through bodies such as the Educational Recording Agency (section 35 Copyright, Designs and Patents Act 1988) remain central to application of the exceptions.

• Any changes in legislation should be limited to non-commercial and educational establishments and for non-commercial uses
• Under EU law, any exception needs to be limited to the communication to the public “by dedicated terminals on the premises” of educational establishments

-Ends-

For further information, please contact Adam Webb on 07908 811223 or email adam.webb@bmr.org.
 
www.bmr.org

Notes to Editors:

• British Music Rights was established to promote greater awareness of the interests and concerns of British music composers, songwriters and publishers to UK and EU policymakers and the wider public. The primary focus is to communicate an understanding of the rights and rewards for creativity in the music business; the value of those rights to UK plc; the impact of new technologies upon music creators and publishers and the resulting policy and legislative implications.
• Our member organisations are the British Academy of Composers and Songwriters, the Music Publishers Association, the Performing Right Society and the Mechanical-Copyright Protection Society.

Notes

1. For instance: the groundbreaking MCPS-PRS Alliance licensing agreements on behalf of its composer and publisher members with legal file-sharing service and next-generation ISP Playlouder MSP (2003) and video-sharing website YouTube (2007).