"In July 2007, The UK Copyright Tribunal returned its decision in relation to the rate paid to songwriters and composers when their music is used in online music services.
"The Tribunal has endorsed a settlement agreement negotiated in September 2006 between the Music Alliance - representing composers and songwriters - and the majority of the online music industry. The Tribunal concluded that this agreement, freely made between these parties, should be the basis for the template for online licensing in the future.
"The Tribunal decision confirms that songwriters, composers and their publishers should receive 8% of gross revenues from online music service providers for on-demand services including downloads and subscription streaming services, 6.5% of revenues for interactive webcasting services and 5.75% for non-interactive webcasting. The concept of minimum royalties for all types of online use has been strongly confirmed, which was a key part of the Music Alliance’s case to protect its members’ rights and revenues."