Total album sales fell by 11.2 percent to £100.5m in 2012, new BPI statistics showed.
The slump was caused by a 24.2 percent drop in CD album sales, which still make up 69.1 percent of all albums sold.
Digitally downloaded albums, which are now 30.4 percent of the total, continued to see an increase, growing from £26.6 million in 2011 to £30.5 million in 2012.
The volume of UK single sales grew for the fifth successive year, according to new figures from the BPI.
Total single sales increased by 6 percent from £177.9m in 2011 £188.6m in 2012, with 99.6% accounted for by digital tracks.
CD singles sales nearly halved - falling from £1.1m in 2011 to £0.6m last year.
Gotye's Somebody That I Used to Know was 2012's biggest-selling single, with X Factor's James Arthur the highest placed British artist at number five, Official Charts Company data showed.
Psy's Gangnam Style was one place behind.
NASA has released an animation of satellite imagery showing Hurricane Sandy from its development in the Caribbean Sea, through its track up the US East coast and landfall and its subsequent weakening in a remnant low pressure area.
Credit: NASA GOES Project.
A new simpler and stronger age-rating system for video games, designed to stop inappropriate games being sold to children under the age of 12, comes into force today.
Daybreak's Richard Gaisford reports:
- All games sold in the UK will be regulated under the Europe-wide PEGI (Pan European Game Information) scheme.
- The British Board of Film Classification (BBFC) had provided 15 and 18 certificates that are legally enforceable here but was never tasked with providing 12 certificates meaning it was technically legal to sell a 12-rated game to younger children.
- The new system will end the BBFC's role in rating video games, unless they contain explicit sexual content that warrants an R18 rating.
- The changes mean anyone selling a 12-certificate game to a child under that age in the UK could be jailed.
A new age-rating system for video games comes into force today.
The new system is designed to stop inappropriate games being sold to children under the age of 12 and give the industry more straightforward rules for rating games according to age, the Government has said.
The British Board of Film Classification (BBFC) had provided 15 and 18 certificates that are legally enforceable here. However, the BBFC was never tasked with providing 12 certificates for video games, meaning it was technically legal to sell a 12-rated game to younger children.
ITV News Wales reports on how Game staff learned that their company had gone into administration, and then found themselves out of a job just minutes later.
Emma Murphy has been to Denton in Greater Manchester to visit a Game store, and says it is ironic that the company should go into administration now.
Tim Edwards, Editor of PC Gamer, says Game's eventual collapse sadly did not come as much of a surprise.