Retailers could save £5 million a year and win a £20 million refund of excessive charges levied on them over the last four years following a legal victory over the copyright fees shops are charged for playing music in stores.
Shops, pubs restaurants and other businesses that play recorded music (including from television and in-store or conventional radio stations) have to pay for a licence. A company called Public Performance Limited (PPL) collects the fees on behalf of record companies.
Dramatic increases
In 2005 PPL imposed dramatic increases in the licence fee charges. Some outlets saw their costs more than double overnight.
On behalf of a broad coalition of its members the British Retail Consortium (BRC) joined with others in a legal battle to fight the scale of these increases.
This week the Copyright Tribunal ruled that the increases were excessive and should be capped 10%.
PPL has said it will appeal but, if the decision is upheld, retailers stand to benefit to the tune of £5 million a year as well as receiving back £20 million they have been overcharged.
Andrew Opie, British Retail Consortium Food and Consumer director said: “We welcome the Tribunal’s decision which establishes a level of tariffs that’s fair for all parties. This is a great example of the BRC helping retailers large and small to pull together and fight an unfair cost that affects them all.
“We regret that PPL is not willing to accept the outcome and has decided to appeal.”
