Ireland’s independent music industry wants the Government to introduce a content levy on streaming services such as Spotify to raise funds to seed the next generation of internationally successful artists.
AIM Ireland (Association of Independent Music Ireland), a trade body representing independent record labels, managers, producers and others involved in the business side of the industry, is set to push for greater support for the sector in 2026.
Colm Hanley, its recently appointed chief executive, said the Government should also explore tax incentives similar to the Section 481 credit for the film industry as a way of safeguarding the future of the music industry.
“That’s proved quite successful in bringing in international film productions and investment to Ireland,” he said.
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“For music, it would allow independent labels, managers to invest in new artists earlier in their careers and retain a lot more of that IP (intellectual property) within Ireland, and, I suppose, create more Hoziers, more CMATs, more Fontaines DCs.”
Mr Hanley, who began his career in radio before spending a decade in a public relations role with MCD Productions, said the Coalition should also explore a content levy on large multinational music companies operating in Ireland.
In the summer, the Irish Music Rights Organisation (IMRO) published a report, indicating the average Irish adult spends €172 on music streaming each year.
More than half of respondents to IMRO’s survey said they pay for music streaming, valuing the market at between €370 million and €384 million.
Mr Hanley said that if even a “modest” percentage of that total spend could be “reinvested back into the independent sector”, it would be “huge” for the industry.
However, the Coalition is understood to be reticent to introduce new levies on international media organisations, against a backdrop of heightened trade tensions between the EU and US.
Minister for Culture Patrick O’Donovan has effectively ruled out introducing a so-called Netflix levy on international film and television streaming platforms, citing the knock-on effect for consumers if Amazon, Disney and others were to pass on the charges to customers through higher subscription fees.
Mr Hanley said the levy proposal was “still in the very early stages of development”, but other countries including France and Canada have introduced similar policies.
Established in 2020, AIM Ireland has board seats on two influential European trade bodies – Impala, which represents independent music companies and labels, and the European Music Managers Alliance (EMMA), representing managers.
“Our goal is to make sure that Irish music can compete internationally, but then we can also keep more of that economic value here in the country,” Mr Hanley said.
The Coalition set aside €18.27 million for the basic income for the arts pilot, which is due to end in February, and its successor scheme, due to start next year. Artists who qualify for the scheme receive €325 per week as a financial safety net.
Mr O’Donovan is expected to bring proposals to put the scheme on a more permanent footing to Cabinet in 2026.
Although the scheme has been “fantastic” for burgeoning Irish musicians, Mr Hanley said, labels and other businesses also require support to continue developing the indigenous industry.
