Support Record Shops - Mini Manifesto

The UK’s record shops are one of the heroes of our highstreets. They are cultural community hubs which provide an economic catalyst to local regeneration.

The vinyl resurgence together with the increasing number of record shops on our high streets, has seen record shops increase their market share by nearly a third in five years.

Record shops have shown passion and resilience to weather the frequent storms of the past few years: Brexit losses, Covid debt, hikes in employment and business costs, all while growing their importance as local employers and grassroots music spaces.

Record shops have been the home to the vinyl revival for the last 20 years, adding value to the UK economy, supporting homegrown talent and bringing communities together at a time when this was most needed.

The 2026 ERA Yearbook revealed the growth in entertainment spending outpaced the growth in alcohol, eating out and gambling in the latest leisure spending statistics, which is testament to the public’s love of entertainment, even when faced with a cost-of-living crisis.

But passion alone doesn't sustain growth, and with business rates and other costs rising at unprecedented pace, and compounding years of pressure after Brexit and Covid, record shops are at a tipping point, risking closure, reduced staffing, or relocation, as a direct result of rising overheads.

With recent concessions being made for hospitality and live music venues, record shops are deserving of a break too; they do more than sell music, they nurture new talent, host gigs and collaborate with venues, employing passionate creators and young people – and they keep local music scenes alive.

In 2025 record shops hosted 1 in 40 of the UK’s music gigs, both in the record shops themselves and in affiliated local venues. That’s over 4,000 opportunities for local fans to engage valuably with the careers of artists, in their neighbourhood, with their community; the very definition of ‘grassroots’!

Grassroots also means community and Record Shops are the beating hearts of ours. More diverse demographics, more young women than ever before, are seeking out independent record shops and spending time there. Local people find calm, conversation and community in these havens of non-judgemental welcome. We need spaces like this for our neighbours to be communities. We need these employers, open to neurodivergence and supported opportunity. Culture connects us. Record shops are invaluable to our communities and at this time, that couldn’t be more important.

ERA are calling on the Government to stop risking record shops’ revival and future survival, and to recognise their essential contribution to the creative and local economy. The Government should support these important independent businesses, which in turn support the wider music ecosystem. Cultural high streets are not sustainable with the current business rates policy. As Lawrence Montgomery, MD of Rough Trade, one of the UK’s best known independent record retailers, says, “If Government wants to sustain the UK’s cultural clout and an incredible growth sector, that needs to be expressed fiscally, not just fancifully.”

 

ERA is calling on the government to support record shops in three main areas:

1. Expand hospitality business rate breaks to record shops, particularly those facilitating live music and experiences. 
   Recognising record shops as spaces providing cultural community experiences and grassroots talent support.
2. Incentives for small businesses to hire locally.
   'Hire local' incentives such as grants for local employment and training. Costs of employment have soared, with National Insurance changes alongside minimum and living wage increases, paying fairly and hiring fully are becoming prohibitive. Record shops are local, valuable, reliable employers; policy must enable these opportunities with creative incentives, such as local hire and training grants.
3. Encourage whole high street planning, supporting cultural businesses for improving local living value.
   Local authority support for cultural enterprise is a structural, practical, holistic endeavour. Local authorities can facilitate growth and regeneration with thoughtful initiatives, supportive of local and small enterprise.
   
   

These three asks - our Mini Manifesto - would support vibrant high streets, increase employment opportunities, in particular for the young, and boost creator revenues.

As cultural hubs within their local communities, securing the future of record shops will support diverse and healthy high streets well as supporting local creators and grassroots venues.

From the shops :

ERA surveyed record shop members who said…

• Recent business rate changes caused an average rate rise of 47%

some well over 100% and up to 400% over 4 years

• 55% said business rates will impact other spending and investment

primarily staff numbers and re-investment (expansion, facilities, maintenance)

 

• Top 3 positive impacts of rate reductions/non-increase would:

increased staffing and hours, investment in stock and events (e.g. gigs), confidence of survival.

Testimonials from Record Shops:
Mark Starte. Director of Vinyl Man Enterprises Ltd (Saffron Walden)

"The increase in business rates was a shock this year, with our bill doubling from what it was in 2025. It’s this withdrawal of support for small businesses that is a challenge right now.” 

Mark Thorne, Thorne Records (Edinburgh)

“At a time when we should all be reaching out to the people, businesses and communities around us, having to tighten the purse strings and batten-down the hatches would be extremely damaging to the support that we want and should be giving to our customers and community.” 

Lawrence Montgomery, MD Rough Trade (London, Bristol, Liverpool, Nottingham)

"Recent exemptions for music venues and pubs, rightly recognised both as culturally significant. Record shops, however, are excluded from this logic, despite playing a central role in music discovery, artist development, and community-building. This distinction is difficult to justify...If Government wants to sustain the UK’s cultural clout and an incredible growth sector, that needs to be expressed fiscally, not just fancifully.”

Mark Burgess, Flashback Records (London)

“I run a chain of record shops in North and East London, employing nearly 40 people across three locations. Over the last 10 years, we have faced numerous challenges. Since Brexit hit in 2016, our exports to Europe are now at about 20% of what they were pre-Brexit, European customers are scared off by the VAT charges and customs duties applied to goods from the UK. Our Mail Order Department is essential and counts for 20% of our business.

In 2021, we were hit by Covid, which meant we were closed for 9 months in total, and trade was very slow to recover. We were left with substantial debts afterwards.

Over the last few years, three big things have happened…

• A big hike in Employers National Insurance Contributions saw us paying an extra £25,000 in tax per annum, which comes out of profit, not turnover.
• Consistently higher than inflation rises to the minimum wage have also significantly increased our wages bill.
• And now our Business Rates have increased by 176% over the last 2 years with further 15-20% rises planned for each of the next two years.

So, despite our turnover increasing by 10% year on year since 2016 (Covid years excepted), and our workforce expanding by 20%, we are still struggling to repay the debt from Covid.  At some point, we must deserve a break and to get some easing of the seemingly incessant extra burdens put on us, so that we can adequately recompense our workforce and get our way out of debt.”