Music licensing in the UK: a guide to PRS and PPL for businesses

Playing music can be vital for British businesses wanting to stand out from their competitors and create a welcoming environment for their customers. Research shows that 92% of businesses find that playing appropriate music leads to greater customer engagement, with longer visits and higher spending.

While music can provoke an emotional response in a customer, business owners need to remember that music is created by songwriters and composers, then performed by musicians and vocalists, all of whom deserve credit and payment for their work.

This is where UK music licensing and the performing rights organizations (PROs) play an important role in supporting the flow of royalties through the music industry's ecosystem. Their aim is to see all creators rewarded for their hard work and musical ingenuity.

Understanding the UK music licensing landscape

PPL UK and PRS for Music are the two music rights organisations that manage UK music licensing. Both bodies work on behalf of their membership to collect and distribute royalties and can provide significant sources of income for creatives, similar to how it works in the United States.

So, what is PRS for Music? This organization manages copyrights on behalf of its 180,000 members with a repertoire of more than 45 million songs. Its role is to collect and distribute royalties when a member's music is played in public, broadcast, downloaded, streamed or performed live both in the UK and around the world. Anyone who owns a musical copyright (including songwriters, composers and music publishers) can join PRS for Music. PRS for Music paid out a record £274.9 million in its December 2025 royalty distribution, with 400 music creators receiving their first royalty payment.

PPL is a similar organization to PRS for Music that works on behalf of a membership made up of record companies and performers. It has more than 150,000 UK-based performers and recording rights holders including major record labels, independent labels, session musicians and self-releasing artists. In December 2025, PPL distributed £54.3 million to 147,000 performers and recording rightsholders.

UK businesses must hold both PRS for Music and PPL licenses to comply with the Copyright, Designs and Patents Act 1988, which requires permission to play copyrighted music in public.

Soundtrack can support businesses that want to stay on the right side of copyright legislation by offering a fully licensed catalog. Its state-of-the-art technology accurately tracks your song plays, which ensures that music creators get the right payments.

What is the difference between PRS and PPL?

"Do I need a PRS and PPL license?" is a question often asked by businesses. The answer is yes, as there are two separate copyrights that they manage.

PRS for Music manages the rights surrounding a song's composition including the lyrics and melody. 

There is also the sound recording captured on a digital file, CD or vinyl record. PPL administers royalties from this on behalf of labels and recording artists. You can think of the songwriter or composer as an architect who creates the original idea for a building. If you want this to come to life, then you need a builder or, in a musical sense, the recording artist. Both need to be paid for their contribution to the finished building or song.

Why do businesses pay for music? This is so they are legally compliant and rightsholders receive fair compensation for their work. Businesses need to take out licenses with both PRS for Music and PPL or, alternatively, invest in their joint initiative: TheMusicLicence. The two PROs teamed up to create a bundled licensing package through a separate registered company (PPL PRS). TheMusicLicence helps streamline the music licensing process through one agreement.

The role of TheMusicLicence in the UK

TheMusicLicence is a single, unified license designed to make it easier for businesses to play music legally so those who create, record and publish music are paid for their work when it is used in public.

This PPL and PRS combined music license provides permission (with a public performance license) to play millions of tracks in public settings and is now the main legal route for businesses looking to source their soundtrack.

Analyzing PRS license costs and fees

The PRS license fee depends on a variety of different factors including the size of a business' premises and the different ways that music is played. The number of employees and types of devices used to play music can also influence how much a PRS license costs. 

Certain sectors such as hospitality or retail have their own unique pricing structures due to the different capacity of certain spaces and the intensity of music use. 

Those business owners looking to expand their venture should factor the PRS music license cost into their budget and financial forecasting. They should also remember that the prices for PRS music licenses are usually reviewed and adjusted annually.

How to obtain a PPL PRS music license

If your business is ready to play music, then obtaining the PPL PRS music license is a relatively straightforward process. You can visit TheMusicLicence website with your business details to get a quote. Alternatively, you can call and speak to a PRS blanket license advisor.

Investigating the license and researching your legal obligations as a music-playing business should mean you avoid any lawsuits or financial penalties incurred for improper music use. If your business is caught playing music without the right licenses, then it can be quite costly and damaging to a business's reputation.

Soundtrack's streaming technology allows you to access a diverse catalog of music to play in your business. However, you still need a PPL and PRS license to be compliant with copyright legislation.

Streaming legally with Soundtrack in the UK

Soundtrack's business music streaming platform offers users access to a vast array of music with more than 125 million songs to give business owners the freedom to play what suits their brand.

Different features include setting multiple zones so different music can be played simultaneously in different rooms. Do you need a family-friendly soundtrack as part of your approach to business music streaming? Soundtrack can filter out any tracks featuring explicit content. There's also a centralized dashboard to help users review, amend and schedule music across all locations, from anywhere.

Soundtrack also offers detailed, track-by-track logs of every song played at every business location. That means your business contributes data that generates accurate royalty distributions for artists and songwriters.

If you use personal streaming app in your business, you're violating their terms of service. By choosing Soundtrack, not only will you be legally compliant but your business will play an important role in sustaining the creative endeavors of today's songwriters and musicians. Not only that, but you'll be pleasantly surprised by what Soundtrack costs.

Related FAQs

How much does a PRS license cost for a small shop?

According to PPL PRS, a PRS license for a small shop (under 100 square meters) in 2026 costs between £246.80 and £370.20. Fees increase based on the size of the shop and if the shop hosts events involving live musical performances.

How to avoid paying PRS for Music legally?

The cost of unlicensed music is high. Some businesses use specialist music providers who provide recordings created by artists not registered with PRS for Music or PPL. Suppliers like Background Sounds or AKM Music can usually provide an exemption certificate. While these suppliers can be the more affordable choice, you get what you pay for: only licensed business music streaming services with deep catalogs like Soundtrack have music from major artists and record labels.

Is it possible to find PPL- and PRS-free music for a business?

Yes, it's possible to play properly licensed royalty-free music. Royalty-free music providers use musicians who aren't registered with PPL or PRS for Music, which means that royalties aren't collected. Royalty-free music providers usually offer this service with lower fees, but they're limited to small, generic music catalogs.

How much does it cost to join PRS for Music as a business owner?

Only copyright holders such as songwriters or music publishers can join PRS for Music. Instead, business owners that play music need to pay a tariff to the appropriate PRO to ensure they're compliant with UK copyright law. The amount depends on the type of business, how the music is played and which PRO manages the copyright.

Do I need a music license if I only play the radio?

Yes, in the UK, you generally need a music license to play the radio in a business, office or public setting. This applies even if the radio is just in the background for staff or customers.

How much is the music license cost for a restaurant?

Restaurant music licensing in the UK can be a complex calculation. The minimum standard royalty in 2026 for a music license from PRS for Music is £196.62, with increased fees depending on the seating capacity and the method of music playback. For PPL, the minimum standard royalty in 2026 is £204.19, with fees increasing based on the size of the area where music is audible.