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Digital Economy Bill [HL]

My Lords, the Government are sympathetic to this amendment, which would allow bodies authorised to run extended licensing schemes to hold a register with details of the works of non-members from whom it does not have a specific mandate to license. It could be possible for such a licensing body to hold such a register, but it is unlikely that it would be accurate. Blanket licensing, even when the licensing body licenses in non-extended licensing mode, works so that the usage is only known after it has been reported by the licensee. Thus the register cannot be fully up to date at any time. I would like to explain how the system could be designed to reach non-members so that they are aware that their works are being licensed. First, an authorised body may be required to give wide notice of the establishment and the parameters of its extended licensing scheme. This could include national and sectoral advertising aimed at bringing the scheme to the notice of rights holders in case they wish to opt out. Secondly, there is now an obligation to consult with those likely to be affected before the authorisation of the scheme. Thirdly, the authorised body will need to distribute royalties to both members and non-members, creating an obligation to seek out non-members whose works have been licensed to pay them their royalties. We consider that these provisions will operate to ensure that an authorised licensing body does not license works that have been opted out of a licensing scheme and is fully accountable to the non-members whose works it licenses under these arrangements. The consultation requirements will ensure that regulations introducing extended licensing are structured so that the system functions properly. In the light of these comments and assurances, I hope that the noble Lord will be able to withdraw his amendment.