The UK has voted to leave the EU, with the final results showing 51.9% of votes supporting Leave, and 48.1% to Remain. Turnout for the referendum was 71.8% overall – the highest in a UK election since 1992.
Prime Minister David Cameron has announced he is stepping down in the wake of the result, which has seen the pound drop more than 10%, to its lowest level since 1985. Reports suggest another recession is likely.
Music Week’s informal poll last week showed that 91% of the music industry backed Remain. BPI’s Geoff Taylor previously said: “The BPI position is that the music industry, particularly the recorded music industry, has a strong interest in remaining in the European Union.”
The most obvious area that could be affected is the live business. Any executive who was involved in the sector before Great Britain joined what was then the Common Market in 1973 has horror stories to tell of touring through Europe in the days before freedom of movement.
Back then, touring acts were required to carry a ‘carnet’ – a document listing their every piece of equipment that would be rigorously checked at each border – and visas were required to enter most European territories.
“I think the live industry would be hit hard by the travel restrictions that will inevitably come with an EU exit,” said Robomagic CEO and former AEG president of international touring Rob Hallett, speaking last week. Hallett believes the current visa-free touring schedule would be replaced by the need to apply for a Schengen Visa, a document that allows you to enter most EU nations, that’s currently used by most US and non-European touring acts.
Prior to the decision, Live Nation's president of touring, international, Phil Bowdery offered: "We always get over these complications. I don't think the face of music will change [by leaving the EU], because fans will still want to go and see their favourite acts. Logistically, it's going to change for all of us and that's something we'd have to get through."
However, culture secretary John Whittingdale said Britain leaving the EU would mean nothing for the UK’s music industry: “We are the most extraordinarily creative nation on the planet,” he told a mix of music biz executives and politicians at a UK Music reception at the House Of Commons earlier this month, “And that has nothing to do with whether or not we are in the European Union. The world may or may not be different [after the result]. But the one thing which I’m absolutely certain about is that British music will go on continuing to thrive.”
Musicweek.com will post updates on music industry reaction throughout the day
