Ruling on music fees expected next month

A decision on whether pubs will get a reduction in fees for playing recorded music and a possible rebate is expected early next month.

The Copyright Tribunal, which held a hearing last week, will rule whether a major increase in fees for pubs by royalties collection firm Phonographic Performance Ltd four years ago was fair.

As a result of the hike in January 2005, some pubs' fees rose by around 400 per cent. And the British Beer & Pub Association and British Hospitality Association estimates the average pub and and restaurant has paid an extra £500 - £600 over the last four years, a total of at least £12 million.

At last Thursday's hearing, attended by The Publican's ​sister title Music Week ​, PPL's legal team told the Tribunal the reason for the hike was that it had "seriously undervalued" its rights in the past.

Lawyers for PPL also said that the current rates had been in place for four years and pubs and restaurants had not "switched off in their droves".

Pushpinder Saini QC, acting for PPL's lawyers GSC, also argued that the PPL tariffs compare favourably with the PRS for Music rates.

A PPL spokesman said: "We have always tried to be fair and reasonable in assessing the new rates for these three tariffs - fair and reasonable for our members, but also for thousands of businesses for whom the use of music can be a real benefit."

Head of the Copyright Tribunal, Catherine Worley, says she expects a decision in early September.