Europe, UK (Commonwealth Union) – The Free Trade Agreement (FTA) between the UK and Australia is set to provide British artists the ability to earn new royalties with the resale of their artwork in Australia.
New rules, that were bought into place under the FTA on the 31st of March, will provide the ability for UK artists to claim resale royalties every reselling instance of their art, that include paintings, sculptures, prints, photographs, in Australia’s professional art market.
The Artist’s Resale Right (ARR) serves as a crucial source of income for artists. According to the Alliance for Intellectual Property, artists in the UK typically earn around £5,000 annually from royalties, with more than 80% relying on ARR proceeds for their daily expenses and art supplies.
In 2021, British artists exported items worth £10 million to Australia, while the Australian art market recorded sales exceeding AUS$140 million in 2023.
Trade Policy Minister Greg Hands emphasized the global renown of British artists, stating that as of today, they will enjoy yet another advantage under the UK’s post-Brexit free trade agenda.
“By ensuring that British artists are paid fairly for their work around the world, we are helping to nurture the next generation of Hogarths and Constables – so we can see their work hanging on the walls of global galleries for generations to come.”
After the enactment of new legislation by the Australian parliament, British artists have the ability to get resale royalties, mirroring the Australian model. This entitles them to 5% of the sale price for artworks sold commercially for AUS$1,000 or more, a benefit they previously did not enjoy for resales in Australia.
Furthermore, starting April 1st, Artist’s Resale Right (ARR) royalties in the UK will be calculated in pounds instead of euros. This post-Brexit adjustment better aligns with the UK market dynamics and streamlines royalty payment calculations, reducing operational costs for UK businesses.
The creative industries in the UK play a vital role, employing 2.4 million individuals and contributing £125 billion to the economy according to the latest data.
