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Music Licensing Agreements: A Practical UK Guide | LegalDocuments.co.uk

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Part ofIP Rights

Written by Brad Askew Solicitor (non-practising)
Brad is on the roll of solicitors of England & Wales but does not hold a practising certificate and does not provide legal advice.
Updated June 2026 · England & Wales
If you want to use someone else's music in a film, advert, podcast, app, shop playlist or live event, you almost certainly need a licence from whoever owns the rights. Music is protected by copyright under the Copyright, Designs and Patents Act 1988, and using a track without permission can expose you to infringement claims, takedowns and damages. A music licensing agreement is simply the written permission that sets out what you can do with a piece of music, for how long, where, and on what financial terms. This guide walks through the main types of music licence used in England and Wales, the clauses that tend to matter most in practice, and the questions I'd want you to think about before signing anything. I'm writing this as a legal tech founder who has seen a lot of these agreements go wrong, not as a record label or a music lawyer trying to sell you a catalogue.

What this document is

A music licensing agreement is a contract between the owner of rights in a piece of music (the licensor) and someone who wants to use that music (the licensee). The licensor is often a songwriter, composer, publisher, record label or performing rights organisation, and in many cases you will actually need permission from more than one of them because a single recorded song has two layers of copyright: the underlying composition (the lyrics and musical work) and the sound recording itself.

The agreement describes exactly what the licensee is permitted to do, which is usually far narrower than people assume. It will normally cover the specific track or catalogue being licensed, the media and formats it can appear in, the geographic territory, the length of the licence, whether the rights are exclusive or non-exclusive, and what the licensee pays in return, whether that is a flat fee, a royalty, a minimum guarantee or some combination. If any of those elements are missing or ambiguous, disputes tend to follow.

How to use this document

  1. Work out which rights you actually need. Before approaching anyone, get clear on how the music will be used. Putting a track behind a video needs different rights to pressing it onto vinyl or streaming it in a shop. Write down the use case in plain English so you can match it to the correct type of licence rather than buying the wrong permissions.
  2. Identify every rights holder involved. A commercially released song usually has at least two sets of owners: the publisher or songwriter for the composition, and the label or artist for the recording. For UK public performance and some digital uses, organisations such as PRS for Music and PPL administer rights on behalf of members. Missing a rights holder is one of the most common and expensive mistakes.
  3. Negotiate scope, territory and term carefully. The licence should spell out where the music can be used, in what formats, and for how long. Think about whether you need worldwide rights or just the UK, whether you want the option to renew, and whether you need any exclusivity. Broader rights cost more, but narrow rights can leave you unable to re-use content you have already paid to produce.
  4. Agree the money in writing. Depending on the licence, fees may be a one-off buyout, a royalty per copy or stream, a minimum guarantee with an advance, or a blanket annual fee. Make sure the agreement explains when payments fall due, how usage is reported, whether there are audit rights, and what happens if a royalty statement turns out to be wrong.
  5. Check warranties, credits and termination. A decent agreement will include a warranty that the licensor actually owns or controls the rights they are granting, an indemnity if that turns out not to be true, clear credit requirements for the artists and writers, and a mechanism for ending the agreement if either side breaches it. Read these clauses as carefully as the commercial terms.

Common questions

Q Do I need a licence to play music in my cafe or shop?
In most cases, yes. Playing recorded music in a public or commercial space in the UK usually requires permission from both the people who wrote the music and the people who own the recording. This is typically handled through a single licence administered by PPL PRS Ltd on behalf of PRS for Music and PPL. Using streaming services intended for personal use does not normally cover business playback.
Q What is the difference between a sync licence and a mechanical licence?
A synchronisation licence lets you combine music with visual content, for example in films, adverts, games, YouTube videos or corporate presentations. A mechanical licence covers reproducing and distributing a musical composition in audio form, such as on CDs, vinyl, downloads or interactive streams. Many projects need both, plus a master use licence from whoever owns the actual sound recording.
Q Can I use a popular song if I give credit to the artist?
No. Crediting the artist does not replace permission. Copyright gives rights holders control over how their work is used, and using a commercial track without a licence can lead to takedown notices, demonetisation, or a claim for damages even if you named the artist. Credit is usually a condition of a licence, not a substitute for one.
Q How long does a music licence last?
It depends entirely on what the contract says. Some licences are granted in perpetuity, some for a fixed term such as one, three or five years, and some for the duration of a specific project. Renewal, extension and termination rights should all be set out in writing. When a licence expires, continuing to use the music without a new agreement can be treated as infringement.
Q What happens if a licensor did not actually own the rights they sold me?
This is why warranties and indemnities matter. A well-drafted agreement will include a promise from the licensor that they hold the rights being granted, along with an obligation to cover your losses if a third party later brings a claim. Without those clauses, you may be exposed financially even though you acted in good faith and paid a fee.
Q Is a verbal agreement to use someone's music enough?
Technically, short licences can sometimes be created informally, but relying on a verbal arrangement is a bad idea. Memories differ, people move on, and rights get sold or assigned. A written agreement, signed by both parties, is the only reliable way to show what was agreed, particularly if the music is going into a commercial project that will be distributed for years.
Q Do I need a lawyer to sign a music licensing agreement?
You do not have to use a lawyer, but for anything more than a very small project it is worth taking proper input before you sign. The commercial terms often look simple while the legal wording quietly narrows what you can do with the music. At the very least, make sure you understand the scope, territory, term, fees and what happens if things go wrong.

Sources

This guide is based on primary UK law and official guidance.

Brad Askew, Solicitor (non-practising)

Written & reviewed by

Brad Askew Solicitor (non-practising)

Brad is on the roll of solicitors of England & Wales but does not hold a practising certificate and does not provide legal advice. LegalDocuments.co.uk is not a law firm and does not provide regulated legal advice.

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Legal disclaimer
This article is for general information only. It is a tool to help you find your way — not legal advice, and not a substitute for speaking to a qualified adviser about your situation.