Geoff Taylor, the chief executive of the music industry body the BPI, said:
2012 was an encouraging year for UK artists and for music’s digital future.
Digital albums grew strongly and singles sales hit a new record.
Music fans are now streaming billions of songs from new services enabled by record labels.
He said that although market conditions proved troubling for High Street sales, digital growth was helping to counter a slump in CD sales.
The quality of our music and digital innovation by UK labels means we have excellent potential for domestic growth and to increase our share of the global music market.
We hope Government will recognise the potential of digital music to contribute to economic recovery and provide more active support in 2013.