Production Companies
Production companies are the creative lifeblood of the UK film and television industry. Increasingly they are taking an assignment of music rights to help generate additional much-needed income, to off-lay the very significant development fees and other overheads essential to create programming.
When music is commissioned for a film or television programme, the composer automatically retains 100% of the music rights. Rights owners receive royalties each time the music is broadcast.
Payment is made according to the amount of music detailed on the cue sheet. These royalties are collected from the broadcaster by collection societies such as PRS in the UK, SACEM in France and ASCAP/BMI in the US.
Each broadcaster pays a different rate (per minute) to the collection societies. Under the right circumstances production companies take an assignment of the publishing rights and a share in the royalties.
In 2009 approximately £144 million was paid out in royalties by PRS just for UK broadcast.
