British Queen celebrates

British artists are poised to receive a substantial boost in royalties from their work sold in Australia, thanks to the recently enacted UK-Australia Free Trade Agreement.

Under this agreement, UK artists will now be entitled to claim resale royalties each time their artwork is resold in the Australian professional art market.

This development, effective from March 31, marks a significant shift in ensuring fair compensation for British artists, aligning with Australia's existing resale royalty system. The Artist’s Resale Right (ARR) serves as a crucial income source for emerging artists, with a vast majority utilizing these royalties for living expenses and art materials. On average, UK artists earn £5,000 annually from ARR, highlighting its importance in sustaining their artistic endeavors.

Trade Policy Minister Greg Hands emphasized the global recognition of British artistic talent, underscoring how this agreement supports the next generation of renowned artists. Creative Industries Minister Julia Lopez echoed these sentiments, expressing commitment to nurturing the creative industries and ensuring equitable rewards for British artists on the international stage.

Under the new legislation enacted by the Australian parliament, UK artists will receive resale royalties equivalent to 5% of the sale price for artworks sold commercially for AUS$1,000 or more. This reciprocal agreement replaces the previous scenario where British artists did not receive any royalties from Australian sales.

Furthermore, starting April 1, ARR royalties in the UK will be calculated in pounds instead of euros, a post-Brexit adjustment aimed at better reflecting the UK market and reducing costs for businesses processing royalty payments.

The creative industries play a vital role in the UK economy, employing millions and contributing significantly to its GDP. Organizations like the Design and Artists Copyright Society (DACS) and Artists’ Collecting Society (ACS) play pivotal roles in distributing ARR royalties to British artists, with millions distributed annually.

The reciprocal agreement between the UK and Australia represents a positive step towards fostering fairness and equality within the global art market. It not only benefits British artists but also extends support to Australian artists through reciprocal arrangements. Moreover, the UK-Australia FTA, enacted in May 2023, eliminates Australian tariffs on UK exports and facilitates professional exchanges between the two countries, further enhancing opportunities for collaboration and artistic development. Photo by Txllxt TxllxT, Wikimedia commons.