Merlin Issues Statement Opposing UK’s AI Reforms

London, UK (February 26, 2025)—Independent label digital music licensing partner Merlin has issued a statement strongly opposing the UK government’s proposed changes to copyright laws for artificial intelligence (AI) training.

The proposed changes, which would allow AI developers to use copyrighted works—including music—without permission or compensation, would be devastating for independent music creators and the broader creative industries, according to Merlin. “Instead of requiring AI companies to seek consent, the government’s proposal reverses the current protections for rightsholders. This proposal was made without an assessment of its economic impact. It completely undermines the foundation of the creative economy, which exists to ensure that creators are protected and fairly compensated for their work,” the statement reads.

“Under the new system, AI developers—including some of the world’s biggest tech companies—would have free access to creative works, forcing rightsholders to actively ‘opt out’ to protect their content,” the statement continues. “This proposal would strip away safeguards that currently protect copyrighted works from commercial exploitation without consent. This approach unfairly shifts responsibility away from AI companies and onto independent artists and labels, leaving them vulnerable to exploitation. Merlin was created to protect independent rightsholders from exactly this kind of exploitation.”

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Jeremy Sirota, CEO of Merlin, stated, “The Government’s proposal would enable AI developers—many of them massive global corporations—to extract value from independent artists without permission or compensation. Independent music is not raw material for tech companies to exploit without consent. AI should be additive, not a tool for devaluing human artistry. These changes must be immediately reconsidered before irreparable damage is done.”

Merlin anticipates that the loss from AI-generated music to its members, who comprise independent record labels, distributors, label services companies and other rightsholders from more than 70 countries—could exceed at least $200 million annually. Merlin also highlights the risks of unregulated AI voice cloning and digital replicas, calling for stronger protections for artists’ personalities and likenesses.

“We are entering a moment of reckoning for the creative industries,” said Charlie Lexton, COO of Merlin. “If AI-generated content is allowed to compete on an uneven playing field—without regulation, transparency, or proper licensing—independent artists will suffer the most. The UK has always been a global leader in music and culture, and it must lead in protecting the rights of those who create.”

Rather than dismantling existing protections, Merlin urges the UK Government to require AI companies to seek explicit permission before using copyrighted works, and to disclose the sources of their training data allowing rightsholders to fully protect their rights.