NCVO demands clarity on music licences

The Government has been challenged to reveal the true cost to charities of a proposed new music licence.

NCVO has called on the Office of the Third Sector to reveal the figures, following comments by Angela Smith, the Minister for the Third Sector, in Parliament this morning (10 March 2010).

Ms Smith said the Government's original estimate of £20 million a year was "overstated" and that things had "moved on significantly from that point".

She then chided Conservative MP Francis Maude for being "sadly out of date" in using the figure in his question.

However, NCVO, which is running a Don't Stop the Music campaign against the proposed new charge, is unaware of any new estimates on the cost to the voluntary sector.

NCVO's chief executive, Stuart Etherington, said:

"We have long expressed deep concern about the impact this new charge would have on the voluntary sector and its ability to help disadvantaged and vulnerable people.

"We would be pleased to hear of a reduction in the estimated £20m figure and would urge OTS to share any further information they have on this."

While charities and not-for-profit organisations have always had to pay licensing body PRS for Music, which collects royalties on behalf of music writers, composers and publishers, the Government has now proposed they should also pay a fee to PPL, which collects royalties on behalf of performers and record companies.

If agreed by Parliament, the charge, which applies to a wide range of events such as fundraising discos, tea dances, community drop-in sessions or where it is used in charity shops create a more cheerful atmosphere for shoppers and volunteers, would come into force in April.

A total of 103 MPs have signed a motion in Parliament calling for charities to maintain an exemption from paying this fee. A total of 805 people have signed a petition on Number 10 Downing Street's website and 483 people have joined a Facebook group opposing the change.

To see the No 10 petition visit: http://petitions.number10.gov.uk/dontstopthemusic/

To see the Facebook group visit: http://www.facebook.com/group.php?gid=274770375866&ref=nf