The Court of Appeal dismisses Rowntree's appeal against PRS, ending claims of unfair distribution for songwriters
Category: Arts & Culture
Blur drummer Dave Rowntree has lost his legal battle against PRS For Music concerning the distribution of up to £200 million in royalties, known in the industry as "black box" royalties. On June 29, 2026, the UK Court of Appeal upheld a previous ruling from August 2025 by the Competition Appeal Tribunal, which had rejected Rowntree's claims as lacking a reasonable prospect of success.
Rowntree's case was aimed at challenging the way PRS distributes unidentified royalties—funds it collects but cannot match to the correct songwriter or publisher due to missing or inaccurate data. Rowntree contended that the distribution method disproportionately favors publishers over songwriters, potentially depriving the latter of substantial earnings.
In his appeal, Rowntree argued that the current system was biased against songwriters, with PRS paying these unidentified royalties primarily to producers rather than the creators of the music. He claimed that this approach could result in songwriters missing out on up to £200 million in unpaid earnings, as more than 160,000 songwriters are represented by PRS.
The Court of Appeal, led by Lord Justice Miles, found that Rowntree's side failed to present a viable alternative for distributing the royalties. "The problem with the case is that the very data failure problem which has arisen means that there is no plausible basis for proposing a more accurate, let alone fairer, distribution," Lord Justice Miles stated in the ruling. He emphasized that the absence of accurate information made it impossible to ascertain a fair distribution of these royalties.
The term "black box royalties" refers to funds that PRS collects but cannot allocate to specific works or individuals due to data issues, such as missing payment or contact details. According to PRS, these royalties are then distributed pro rata to those whose royalties can be matched. This method, Rowntree argued, systematically disadvantages songwriters, who make up the majority of PRS's membership.
During the initial proceedings, the Competition Appeal Tribunal found that Rowntree's proposed class action was flawed, stating that the class was effectively suing itself. The tribunal concluded that the claim lacked merit and did not offer a reasonable prospect for success, leading to its dismissal.
The Court of Appeal's ruling reinforced this perspective. Lord Justice Miles noted that any alternative distribution method could inadvertently favor more prominent songwriters, such as Ed Sheeran, over lesser-known artists, thereby perpetuating existing inequalities within the music industry. He remarked, "It makes no sense to speak of any rule as ‘fair’ or not in an abstract sense; it can only be assessed by comparison with an alternative."
The ruling has broader implications for the music industry, particularly for songwriters and grassroots venues. The Music Venue Trust, an organization advocating for live music spaces, has raised concerns about licensing fees and their accuracy, claiming that discrepancies linked to PRS-related charges could threaten the viability of smaller venues. They reported identifying over £666,000 in discrepancies across England, Scotland, and Wales, including a notable £90,000 error that could lead to the permanent closure of a venue.
In response to the ruling, a spokesperson for PRS For Music expressed satisfaction, stating, "The Court of Appeal has once again recognized that this claim has no reasonable prospect of success and has upheld the Competition Appeal Tribunal’s earlier decision to strike it out." They emphasized that the claim misrepresented PRS's policies and would have resulted in members suing their own organization, which is collectively owned by its members.
Rowntree, in a statement following the ruling, acknowledged the court's decision but expressed disappointment. He argued that the legal action had successfully highlighted the magnitude of the black box royalties issue. "I would welcome the opportunity to work with the PRS to find ways to shrink the value of black box royalties for the benefit of its 160,000 songwriter members," he stated. Rowntree emphasized the need for improved methods of identifying and distributing royalties, especially in light of advancing technology.
As the dust settles on this legal battle, the focus may shift to potential reforms within PRS and the broader music industry. Stakeholders, including the Council of Music Makers, have echoed calls for PRS to adopt new technologies to address inaccuracies and inefficiencies in songwriter payments. They advocate for a more transparent and fair licensing process that benefits both music creators and users.
Looking ahead, the music industry faces increasing scrutiny over how royalties are managed and distributed, particularly in the aftermath of this high-profile case. The discussion surrounding transparency and fairness in royalties distribution is likely to continue, as many industry players seek to address the disparities highlighted by Rowntree's legal challenge.
Rowntree remains active in the music scene, having recently released a photobook titled *No One You Know: Dave Rowntree’s Early Blur Photos*, which chronicles the formative years of Blur. He has also hinted at the possibility of a future for the band, stating, "You never really know. That’s the honest truth." As the music industry evolves, the outcomes of such discussions will be closely watched by songwriters and fans alike.