MCPS music audio product royalties
Your music may be used in a variety of ways on audio products. Choose an option below to find out how we collect money on your behalf for the use of your music.
The AP1 Agreement is aimed at established record companies who make CDs/LPs to sell to the public. They must have had an exemplary trading history with MCPS and be able to demonstrate creditworthiness and administrative capability.
How often should you expect to be paid?
Quarterly, 52 days after the quarter end.
Do we pay you for each track used?
Yes.
What do we charge a customer for the use of your music?
8.5% (excl. VAT) of Published Dealer Price
If this is unavailable - 6.5% (excl. VAT) of the retail price
The charge is reduced proportionately if any of the music on the CD/LP is in the public domain or is non-MCPS repertoire.
What commission rate do you pay us on the royalties collected?
6.25%
Do record companies pay for every CD/LP they produce?
The label pays for the ones they ship out (minus returns), accounted to us quarterly.
What does the scheme allow?
The sale of audio-only products to the public for their own private use.
Certain types of enhanced CDs are included in this scheme where tracks featured in the audio-visual content also feature in the audio-only part.
What does the scheme exclude?
The onward rental of the audio-only product (public libraries have special arrangements). Record clubs (dealt with under the AP6 scheme). Complete recordings of dramatico musical works (we will direct requests to you). Deletions and exports are subject to special provisions.
Samples
If your music is sampled or your music is re-arranged or re-worked, we will inform you via email so that you can take the appropriate action. Check our Procedure for Copyright Works Containing Samples.
Is there a promotional allowance?
Promotional records clearly marked on the disc and packaging are royalty-free, the maximum per release is 1500 albums or 3000 singles in total across the formats.
Further Information
Anybody can apply to the AP2 Agreement (e.g. New record companies and others) if they make audio-only products to sell to the public. Approval to use your music will only be given once we receive payment.
How often should you expect to be paid?
Monthly (in month following cleared funds)
Do we pay you for each track used?
Yes
What do we charge a customer for the use of your music?
8.5% (excl. VAT) of the Published Dealer Price.
If this is unavailable - 6.5% (excl. VAT) of the Retail Price.
The charge is reduced proportionately if any of the music on the CD/LP is in the public domain or is non-MCPS repertoire.
What commission rate is deducted on the royalties collected?
15%
Do record companies and others pay for every audio-only product they produce?
Yes, for every product manufactured. Royalties are payable in advance.
What does the scheme allow?
The manufacture of audio-only products to be sold to the public for their own private use.
Certain types of enhanced CDs are included in this scheme where tracks featured in the audio-visual content also feature in the audio-only part
What does the scheme exclude?
The onward rental of the audio-only product (public libraries have special arrangements). Record clubs (dealt with under the AP6 scheme). Complete recordings of dramatico musical works (we will direct requests to you).
Samples
If your music is sampled or your music is re-arranged or re-worked, we will inform you via email so that you can take the appropriate action. Check our Procedure for Copyright Works Containing Samples.
Is there a promotional allowance?
Promotional records, clearly marked on the disc and packaging and supplied to trade are not charged for. There is a promotional allowance of: On a first pressing, where manufacturing 500 or more copies, a 25% allowance exists up to a limit of 250 for albums or 400 for singles.
The AP2a agreement is aimed at record companies and others who make audio-only products to sell to the public. We will look at their trading history, creditworthiness and administrative capability.
How often should you expect to be paid?
Monthly (in month following cleared funds)
Do we pay you for each track used?
Yes
What do we charge a customer for the use of your music?
8.5% (excl. VAT) of Published Dealer Price.
If this is unavailable - 6.5% (excl. VAT) of the retail price
The charge is reduced proportionately if any of the music on the CD/LP is in the public domain or is non-MCPS repertoire.
What commission rate is deducted on the royalties collected?
7.5%
Do record companies and others pay for every audio-only product they produce?
Yes, for every product manufactured. (Payment is due in 60 days)
Special considerations
If you flagged first licence refusal when you registered the music, we will ask first before we approve the use of your music.
What does the scheme allow?
The sale of audio-only products to the public for their own private use.
Certain types of enhanced CDs are included in this scheme where tracks featured in the audio-visual content also feature in the audio-only part
What does the scheme exclude?
The onward rental of the audio-only product (public libraries have special arrangements). Record clubs (dealt with under the AP6 scheme). Complete recordings of dramatico musical works (we will direct requests to you).
Samples
If your music is sampled or your music is re-arranged or re-worked, we will inform you via email so that you can take the appropriate action. Check our Procedure for Copyright Works Containing Samples.
Is there a promotional allowance?
Promotional records, clearly marked on the disc and packaging and supplied to trade are not charged for. There is a promotional allowance of: On a first pressing, where manufacturing 500 or more copies, a 25% allowance exists up to a limit of 250 for albums or 400 for singles.
The AP3 Agreement is aimed at customers who make and supply new and forthcoming releases specifically to promote the sale of records, such as DJ audio only products (White Labels) and monthly subscription services to DJs.
How often should you expect to be paid?
Monthly (in month following receipt of income and usage information)
Do we pay you for each track used?
Yes
What do we charge a customer for the use of your music?
1p for each piece of music (or part) reproduced. 1.5p where music is featured on a megamix (a medley of tracks).
What commission rate do you pay us on the royalties collected?
12.5%
The AP5 Agreement is aimed at importers of products manufactured outside the EEA which are imported to the UK.
What does it cover?
Both the copyright in the music owned or controlled by MCPS members and the copyright in the sound recording administered by BPI members
How often should you expect to be paid?
The distribution timing for AP5 is variable due to it being pro rata income.
Do we pay you for each track used?
No, the money collected is distributed on a pro rata basis.
What do we charge a customer for the use of your music?
The pence rates are as outlined below:
- 7” inch singles - 15p
- 12” inch singles/CD single - 45p
- Vinyl albums - 75p
- Cassette albums - 75p
- Compact Disc albums - 125p
What commission rate do you pay us on the royalties collected?
12.5%
Special considerations
Boxsets require an import stamp for each product in the set.
In cases where a licence has been granted by another society and royalties paid to the UK copyright owner, special stamps are used at reduced rates. In this instance only the sound recording copyright is charged for under this scheme.
The AP6 Agreement is aimed at record clubs who sell to the public through a club membership with a purchase commitment.
How often should you expect to be paid?
Quarterly (within 7 days of cleared funds)
Do we pay you for each track used?
Yes.
What do we charge a customer for the use of your music?
6.5% of the club price.
This charge can be reduced by agreed factors including the product commitment period, the introductory offers and any bonus or reduced sales during membership.
What commission rate do you pay us on the royalties collected?
4.75%
Do record companies and others pay for every DVD they produce?
The label pays for the ones they ship out (minus returns), accounted to us quarterly.
The AP7 Agreement is aimed at publishers who supply free CDs with magazines sold to the public. (For newspapers see the AP7N scheme)
How often should you expect to be paid?
Monthly (in arrears)
Do we pay you for each track used?
Yes.
What do we charge a customer for the use of your music?
6.5% of 'Base Price' (Base price subject to a minimum of £1.65 per copy).
What commission rate do you pay us on the royalties collected?
12.5%
Special Considerations
All music used on the cover-mount CD must be reviewed or referred to within the magazine. Details of the album of origin must also be included.
CDs must not be by a single artist or contain more than two tracks written by the same writer/ writing partnership unless you give approval.
What are customers required to do?
Products must include both the British Music Rights "Respect the Value of Music" logo and the strap line "The producers of this CD have paid the composer and publishers for the use of their music". These must be displayed together either on the product itself or the sleeve. Record company and magazine branding is also allowed.
What does the scheme exclude?
Third party sponsorship. This is covered under the SG3 scheme (Premium Products). Newspapers (see the AP7N scheme).
AP7N Agreement is aimed at publishers who supply free CDs with newspapers sold to the public. (For magazines see the AP7 scheme)
How often should you expect to be paid?
Monthly (in arrears)
Do we pay you for each track used?
Yes.
What do we charge a customer for the use of your music?
6.5% of Base Price (subject to a minimum of £1.10 per copy).
What commission rate do you pay us on the royalties collected?
12.5%
Special considerations
All music used on the cover-mount CD must be reviewed or referred to within the magazine. Details of the album of origin must also be included.
CDs must not be by a single artist or contain more than two tracks written by the same writer/ writing partnership unless you give approval.
What are customers required to do?
Products must include both the British Music Rights "Respect the Value of Music" logo and the strap line "The producers of this CD have paid the composer and publishers for the use of their music". These must be displayed together either on the product itself or the sleeve. Record company and newspaper branding is also allowed.
What does the scheme exclude?
Third party sponsorship. This is covered under the SG3 scheme (Premium Products). Magazines (see the AP7 scheme)
What is the name of the scheme?
Joint Import Licensing Scheme (JIL)
Who is it aimed at?
The JIL grants customers the right to import into the UK (from outside the EEA) for distribution and sale any audio, audio-visual, karaoke, toy or giftware item which has been lawfully manufactured and which contains our members’ music works and where relevant BPI and AIM members’ sound recordings.
How often should you expect to be paid?
The distribution timing for JIL is variable due to it being pro rata income.
Do we pay you for each track used?
No, the money collected is distributed on a pro rata basis.
What do we charge a customer for the use of your music?
For products where there is no use of the original sound recording half the royalty rate will be charged except in the case of karaoke products where the rate is higher due to use of graphic rights, so £1.15 will be collected.
View the full list of charges here
All rates are exclusive of VAT
Non-music means a pre-recorded audio or audio-visual product whose main feature or primary purpose is not the music it contains or makes use of. i.e. a musical jewellery box is a non-music product.
What commission rate do you pay us on the royalties collected?
12.5%
Further information
What is the name of the licence?
Limited Manufacture Licence
Who is it aimed at?
The Limited Manufacture Licence is for customers who produce small scale audio and audio-visual physical products. The licence is aimed at users such as schools, churches, amateur groups and private users who wish to use music in their own productions.
Exclusions for this licence include: the use of unauthorised arrangements; adaptations; parodies; burlesques; dramatico-musical works; derogatory uses; on screen lyrics; and games. The licence also excludes the use of advertising, third party associations, and third party distribution. The licence will not be available to record companies.
Products with over 120 minutes of music are also excluded under this scheme.
How should you expect to be paid?
Members will be paid royalties via the pro-rata distribution.
Do we pay you for each track used?
No, there is no line by line reporting for this licence; however the e-Commerce facility through which customers will acquire their licences will collect information with regards to music genre, event, production and who the licensee is, for example, a church.
What do we charge a customer for the use of your music?
View the full list of charges here
All rates are inclusive of VAT
What commission rate do you pay us on the royalties collected?
12.5 %
Special considerations
Manufacturing restrictions under the Limited Manufacture Licence are as follows:
- 1,000 units per product application
- 2,500 units per annum per licensee
Examples of customers who have a Limited Manufacture Licence:
Schools and colleges, videographers, amateur dramatic societies, church choirs, and couples planning to use music at a recorded ceremony.
Music Services (Business to Business) Scheme allows customers to supply music services to a company (directly or through a distributor) to locations such as retail shops, restaurants, public houses, commercial businesses, aeroplanes, pubs and hotel rooms.
How often should you expect to be paid?
Twice annually
- Annual MCPS Pro-Rata distribution
- Annual PRS Pro–Rata distribution
Do we pay you for each track used?
View the full percentages and minimum payments here
What commission rate do you pay us on the royalties collected?
8.5%
The ‘Music Promotions to Trade’ Agreement (formerly AP4) is aimed at record companies who distribute specifically promotional CDs/LPs to trade contacts.
For details of the promotional allowance which is available under the retail schemes please see the AP1/2/2A scheme information.
How often should you expect to be paid?
The distribution timing for AP4 is variable due to it being pro rata income.
Do we pay you for each track used?
No, the money collected is distributed on a pro rata basis.
What do we charge a customer for the use of your music?
0.5p per track per Unit.
What commission rate do you pay us on the royalties collected?
12.5%
Special Considerations
All products must be marked or labelled with the wording 'Promotional Copy - Not For Sale' All tracks featured on the product must have been scheduled for commercial release if not released already.
What does the scheme exclude?
The distribution of copies free to the public such as prizes, giveaways and direct marketing. The release of Cover Mount CDs (covered under the AP7 and AP7N schemes).
What is the name of the Licence?
ProDub (Professional Dubbing Licence)
Who is it aimed at?
The ProDub Licence provides permission from the copyright holders of both the musical works (via MCPS) and sound recordings (via PPL) to individuals who wish to dub (copy) music that they privately own onto formats for the specific purpose of using these copies in their professional or semi-professional working capacity.
How should you expect to be paid?
Members will be paid royalties via the pro-rata distribution.
Do we pay you for each track used?
No, there is no line by line reporting for this licence
What do we charge a customer for the use of your music?
- 1 - 5,000 songs copied per annum: £250 (£300 including karaoke uplift)
- 5,001 - 10,000 songs copied per annum: £300 (£360 including karaoke uplift)
- 10,001 - 15,000 songs copied per annum: £350 (£420 including karaoke uplift)
- 15,001 - 20,000 songs copied per annum: £400 (£480 including karaoke uplift)
- 20,000 - 100,000 songs copied per annum: pro-rated on top tier
What commission rate do you pay us on the royalties collected?
20%
Examples of customers who have signed up to the agreement include:
- DJs
- Fitness/Dance Instructors
- Performing artists
The SG3 Agreement is aimed at companies who make and supply products (DVD, CD, CD-Rom etc) for marketing promotions and incentives.
How often should you expect to be paid?
Monthly in arrears.
Do we pay you for each track used?
Yes.
What do we charge a customer for the use of your music?
The charges are negotiable depending on the circumstances.
What commission rate do you pay us on the royalties collected?
12.5%
Special considerations
Sponsorship and advertising messages may be used if the copyright owner of the music gives approval.
What does the scheme exclude?
Discs supplied with magazines without third party association (covered under the AP7 scheme).
The SMP Agreement is aimed at businesses who make and supply a variety of made-to-order music products including; MIDI files, bespoke karaoke compilations, backing tracks, recording booths, mechanical organ music and music quiz compilations.
How often should you expect to be paid?
Quarterly and 6 monthly.
Do we pay you for each track used?
No.
What do we charge a customer for the use of your music?
£500 (+ VAT) as a non-returnable advance payment. This covers an initial level of royalties which are expected to accrue and will be offset against subsequently accrued royalties. If you store music on servers, a further non-returnable advance payment is required as detailed below:
- < 5,000 tracks on server requires a £1000 annual advance
- > 5,000 tracks on server has a negotiable annual advance
Charges payable for use of our member's music are as follows:
- Audio only clips (up to 30 seconds): 3p per music per copy (excl VAT)
- Audio-visual clips (up to 30 seconds): 3.5p per music per copy (excl VAT)
- Audio only clips (up to 5 minutes): 10p per music per copy (excl VAT)
- Audio-visual tracks (without lyrics - up to 5 minutes): 11p per music per copy (excl VAT)
- Karaoke tracks with still images & lyrics: 12p per music per copy (excl VAT)
- Karaoke tracks with moving images & lyrics: 13p per music per copy (excl VAT)
- MIDI files: 15p per music per copy (excl VAT)
What commission rate do you pay us on the royalties collected?
12.5%
What does the scheme exclude?
Visual images of a sexual, violent or political nature. Advertisements or sponsorship messages. Premium Products (please refer to the SG3 scheme). Use of music subject to First Licence Refusal. Implication of approval or endorsement by the writer or performer of the music. Online distribution. Recordings of shows or excerpts from shows.
The SG7 Agreement is it aimed at businesses who make and sell cassettes/CDs for use in aerobics classes.
How often should you expect to be paid?
Quarterly.
Do we pay you for each track used?
No.
What do we charge a customer for the use of your music?
15% of the gross revenue.
What commission rate do you pay us on the royalties collected?
12.5%
What does the scheme exclude?
Advertisements.
