UK listeners just crossed the £2 billion mark in music streaming subscriptions, but physical sales are also making a comeback.
According to new data from the Entertainment Retailers Association (ERA), UK consumers allocated £2.045 billion to music streaming services in 2025. This milestone marks the first time that streaming subscriptions have exceeded the £2 billion threshold. However, the growth rate of streaming has decelerated, dropping from 7.8% in 2024 to 3.2% last year.
In contrast to the streaming market, physical music sales experienced a notable uptick, with audiences spending £368.1 million. This marks an impressive 11.5% increase from £330.1 million in 2024. Interestingly, while digital downloads faced a decline of 3.5%, amounting to £39.9 million, the vinyl market saw a remarkable 18.5% growth, fueled by a resurgence in interest. Additionally, sales of cassette tapes skyrocketed by 95%, although CDs registered a slight decline of 1%.
Since 2016, overall music sales in the UK have surged by 120%. This growth rate is approximately ten times greater than the broader UK economy’s average growth of 12%.
ERA CEO Kim Bayley commented on the current state of the industry, stating, “Streaming services and retailers are committed to supporting new UK music, and the emergence of a new wave of UK artists is vindicating their approach.” She further emphasized that despite challenging economic conditions, streaming platforms and retailers are capturing a larger share of consumer spending, underlining their vital role in the UK’s creative economy.
The data presents a mixed picture for the music industry, showcasing both the challenges and opportunities that lie ahead. As the industry continues to adapt, it remains clear that both streaming and physical sales play significant roles in shaping the future of music consumption in the UK.
