PPL vs PRS - Joining as an Independent Artist.

I recently had a chance to attend a guest lecture at my uni from the relationship manager of PPL UK, which was really interesting, so I thought I’d share some information on PPL and PRS for my UK musician readers out here.

For those of you that are very confused, there are two ‘collective management organisations’ you can join in order to gain money from your work as a musician. These are; PPL UK and PRS.

(All rights to original copyright holder)

A bit of background info.

Music. It’s amazing, it brings joy, sadness, can create many memories. However, it’s a very complicated industry with so many different parts, and so many different revenue streams, especially in this digital age.

(If you already know all of this feel free to skip over it).

Let’s take it right back to basics. So, when you create music, you’ll usually have two things: a performer, and a songwriter (or composer for my more classical friends out there). Sometimes, these are the same person, think Ed Sheeran, Adele, Lily Allen etc (not to say these are the only songwriters or performers on their records, but more on this later). Sometimes, these are two completely different people, or often artists, like Ed Sheeran, will have writing sessions with either other artists, or songwriters who do not necessarily perform on the track in question.

Cool, got that? Remember it for later, it’s really important.

Now, when music is released and there is a revenue stream, the revenue gained is split 50/50 between: the recording, and the music publishing, which has a lot to do with rights.

So when an artist signs a record deal with a record label, they sign away your rights to the recordings NOT the songwriting (or publishing) rights, in exchange for essentially an advance and a percentage of the income (generally - every record deal is different).

So, publishing houses are very important. Publishing houses deal with the songwriting side of things. This covers everything from the composition of the music, to the lyrics, to the melodies. Most artists who sign a record deal will also sign a publishing deal with the publishing house connected to the record label, particularly major labels, however this is not always the case. Some artists/songwriters only sign publishing deals, or start out with only a publishing deal, such as Lady Gaga and Julia Michaels.

In terms of revenue, the 50% of the revenue stream that goes to the publishing side of it, is then split between the songwriters with a prearranged deal, based on how much each person contributed.

It is very complicated. If you want to know more, I’d recommend reading 'All You Need To Know About the Music Business (9th Edition)' by Donald S. Passman, and/or 'Music: The Business (7th Edition)' by Ann Harrison.

What are PPL UK and PRS For Music? What’s the difference?

For those who don’t know, PPL stands for the Phonographic Performance Limited UK (however they do work internationally, with large revenue coming from Germany). They collect and distribute money made from recorded music on behalf of performers and record companies. Whereas, PRS for Music, which stands for Performing Rights Society for Music, does the same for songwriters, composers and music publishers. You’ve probably seen the PRS symbol out and about in quite a few shop/restaurant windows. PRS also distributes licences. It can get quite confusing and often they overlap, even though they are completely separate organisations, so in 2018 they launched PPL PRS Ltd, a joint venture to make it easier for artists, however their tariffs still remain separate.

In brief; whenever your music is performed in public, whether that is by you, someone else, on the radio, on a film/tv programme, or in a shop, you can earn money, and these companies will collect the money for you and then distribute it to you.

How do they work?

This is where things get a bit more complicated a bit more in-depth. So, in order for businesses to use your music in their shop, or if your music is used in a film or a tv programme, they need a licence.

PPL licenses radio stations, TV broadcasters and certain digital media services to play recorded music in the UK as part of their programming, as well as licensing music suppliers to copy recorded music for services such as in-store music systems, jukeboxes, compilations for exercise classes and in-flight entertainment systems, remembering that this is only for the performers on a track.

PRS for Music pay royalties to their members when their work is performed, broadcast, streamed, downloaded, reproduced, played in public or used in film and TV. PRS for Music is also the home of the Mechanical Copyright Protection Scheme (MCPS). MCPS pay royalties to their members when their music is: copied as physical products, such as CDs and DVDs, streamed or downloaded, used in TV, film or radio. Remembering that this is for the songwriters, composers and music publishing companies.

Sometimes, money is collected jointly, and then split between PRS for Music and MCPS.

If you play or perform music at your business or organisation’s premises, you will usually need TheMusicLicence, which is issued by PPL PRS Ltd.

PPL does back date, but only to that year, so if your music was on the radio less than 12 months ago, you could be due some income.

Great! So which one do I need to join?

That depends entirely on who you are, and what you do. If you are mostly a session musician and don’t really do any composing or songwriting, it’s probably only worth it for you to join PPL UK as most of your music will be recorded or performed.

If you are mainly a songwriter or composer, and don’t really record or perform any of your compositions, it’s probably only worth it for you to join PRS.

Anyone who has made an audible contribution to music (such as a producer, engineer etc) can earn money as part of PPL. If you are an engineer or a producer, you do need to get the artists to confirm this.

If you are a singer-songwriter, or a band member who is involved with the composition process, and you want to record and release your music, things get a bit more complicated, however, it’s probably worth joining both PPL UK and PRS for Music, as you can earn money from both avenues.

How much does it cost to join?

At the moment it’s completely free to join PPL, however they do charge a fee to cover their expenses.

Where, it costs £100 a year to join PRS for Music, although if you get some radio play (amongst other avenues), depending on the radio station, you can earn that back quite quickly.

How do I get paid?

PPL pay their members four times a year. Their dates vary each year and can be found on this website: https://www.ppluk.com/membership/ppl-payment-dates.

PRS distributions: PRS pay out royalties four times a year. These are: April, July, October and December. However, if your music hasn’t earned at least £30 by each distribution date, you won’t receive any royalties until the end of the year.

MCPS royalties are paid out each month. However, as with PRS, you will only receive your royalties if they are above £30 for the month. If your royalties haven't earned £30 by November, you will receive whatever total you have in the December distribution. If your royalties are paid into a bank outside the UK, you'll only receive royalties if they exceed £60.

How do I join?

Joining both organisations is very simple. Follow these links to join PPL: https://myppl.ppluk.com/s/qq

PRS for Music: https://www.prsformusic.com/join

All information found on PPL UK and PRS For Music Websites, which can be found at: https://www.ppluk.com/ and https://www.prsformusic.com/ respectively, where you can find more information.

Finally, due to recent events, PRS for Music has launched their Emergency Relief Fund. More information can be found at: https://www.prsformusic.com/c/emergency-relief-fund.

Thanks for reading. Make sure to check back soon for another article!

Sabrina