Edward Marchesi The European music industry enjoyed a remarkable year in 2025, with revenues reaching a record €6 billion. This represents a 5.1% growth over the previous year and positions Europe as a key player in the global music landscape, contributing 21.3% of global recorded music revenues.
These data emerge from the annual Music in the EU 2026 report published by IFPI , which analyses the performance, impact, and future prospects of the European music sector. The report highlights how the European music ecosystem continues to combine cultural influence, technological innovation, and economic growth.
The main European music markets
Nine of the world's 20 largest recorded music markets are located in the European Union, with a combined turnover of €5.1 billion.
During 2025, revenues increased by €293 million, a significant increase that demonstrates the vitality of the sector. This success is supported by record companies' ongoing investment in discovering, developing, and promoting new talent.
Globally, record labels have invested US$9,3 billion (€8,3 billion) in A&R (Artist and Repertoire) and marketing, helping European artists build lasting careers. These investments are crucial to maintaining Europe as a creative and innovative hub in the music industry.
The national repertoire and streaming
The report also highlights the strength of the national repertoire across Europe.
53.5% of the songs in the Top 10 at the end of the year in each country are performed by local artists, a higher percentage than the average outside the EU. This figure highlights the importance of local music and its ability to attract audiences.
Streaming continued to be the key growth driver, contributing approximately 66% of revenues in 2025. However, Europe remains a market with significant growth potential. Paid subscription streaming penetration stands at 27%, compared to 54% in the US and 47% in the UK.
The report outlines a roadmap for policymakers, urging them to focus on the effective implementation and enforcement of existing legislation. It is crucial to support responsible innovation in AI through meaningful transparency measures and to ensure that creators can continue to exercise and benefit from their rights.
With continued investment and a strong focus on local creativity, Europe is well positioned to meet future challenges and maintain its leadership in the global music industry.