Electronic music made £2.5 billion for the UK economy last year
Electronic music generated £2.5 billion for the UK economy last year, according to a new report commissioned by the Night Time Industries Association (NTIA).
The study, conducted as part of the ‘Electronic Beats, Economic Treats 2024’ music report, takes into account the measurable economic impact of electronic music on the UK economy, across recorded music and music publishing, as well as the live scene encompassing club nights, concerts and festivals.
As per the NTIA’s valuation, the industry’s economic contribution has decreased by 6% on previous years, which it partly attributes to the closure of 31 UK nightclubs (4%) in the 2022-2023 period. Since the start of the pandemic, a total of 396 nightclubs (32%) have been shut. Recent figures from the Music Venue Trust (MVT) also said 2023 was the UK’s worst year for music venue closures, with stats showing that 125 grassroots music venues were closed during the year.
In the study, the NTIA also report a 9% decline in visitors to nightclubs during the past year, while they estimate the total spending associated with nights out in clubs (drinks, transportation, etc.) to have fallen by 14% in 2023.
“[This report] sheds light on the challenges faced by the industry, providing insights for future growth,” said Maria May, Head of Electronic Music at Creative Artists Agency (CAA).
“In order to continue to grow we need to support each other and the culture of dance music. Together, let us propel electronic music to new heights in the UK and beyond.”
Despite these hurdles facing UK nightlife, the NTIA’s new report also aims to highlight “the economic contribution and the cultural significance of the electronic music industry to the UK economy.”
Research by Viberate, a music analytics service, revealed that festivals are a key contributor to the industry’s economic vitality, with the UK ranked third in the world for electronic music festivals. Hosting around 300 events each year with 30% of artists billed playing electronic music, the overall economic contribution from festivals has risen by 9% to £567.8m.
Concerts and other live electronic music events are also continuing to make a notable impact on the economy, with the total economic contribution rising to £285.5m, marking a 5% increase from the previous year’s £272.3m.
“This report really aims to highlight the profound impact of electronic music on communities, individuals, and the wider cultural landscape,” shared DJ, producer and promoter, Yousef.
“It is a testament to the unwavering dedication, creativity, and passion of those involved in shaping this vibrant and dynamic industry.”
Elsewhere in the report, electronic music’s cultural footprint is seen to be expanding, shown by its 10.6% share of UK singles revenue in 2022, up from 10% in the previous year, and a 15.5% presence in the weekly Top 10 on the Official Singles Chart in 2023.
Dance music is also amongst the UK’s most streamed genres, the report shows, ranking second most searched-for genre on digital platforms such as YouTube and Spotify.
Read the full report by the NTIA here.
Last year, the NTIA alleged that the UK Government was intentionally closing nightclubs. “The current Government has never recognised the value of this sector,” the organisation’s CEO said, after they opted to scrap the energy relief scheme which provided support for UK-based clubs, households and businesses.
