Music organisation Beggars Group have issued a stern warning to the UK music industry over fears that Brexit will heavily impact industry growth.
The group, which houses labels Rough Trade, XL Recordings and 4AD, said it had concerns over the restrictions on the movement of staff, tariff costs, duties and the withholding of taxes on royalty payments to artists.
Directors of the company said: ‘Revenues from the EU are a critical element of the business. Therefore, it is of some concern that the arrival of Brexit may hold back further growth.’
The group also expressed fears over the music industry’s ability to stand against powerful tech-giant companies based in the US and protect creator’s rights.
They went on to say: ‘Beggars Group has always maintained strong community links with fellow EU-based independents, and we value the effectiveness of collective European regulatory influence of powerful US technology companies.
‘We are concerned with the uncertainty around post-Brexit plans for adopting EU Directives and Regulations that currently serve to protect our IP rights.’
In 2016, Beggars Group and Universal Music joined forces to support membership to the EU, issuing similar warnings about risks to the UK music industry after the EU referendum that summer.
Beggars Group is one of the largest independent label groups in the world and is home to many award-winning artists including Adele, Sampha and Jarvis Cocker.