Damage to small businesses from the Artist's Resale Right



We, the undersigned, object to the extension of the Artist’s Resale Right in the United Kingdom to the estates of dead artists, with effect from 1st January 2012. We also deplore the debilitating effect this will have on the majority of art businesses in the UK.  Unlike international auction houses, these are often small family-run enterprises of the type recognised by the Government as key to growth at a time of economic uncertainty. Far from helping struggling new artists, the lion’s share of the royalties from the extended Right will be paid to the heirs of deceased artists,  such as the Picasso estate, which are already financially well-off.  Living artists embarking on their careers and wanting to promote their art can usually only do so with the help of experienced art dealers. These dealers can also help manage deceased artists’ estates by offering storage, conservation,
cataloguing, research and restoration services. 
Artists need a strong, efficient and professional body of financially-solvent galleries, run by dealers devoting all their energies and resources towards the sale of their art works. The full implementation of the Right will hinder this by considerably reducing dealers’ margins and by increasing fourfold the bureaucracy they deal with.  Running a small business is becoming increasingly costly and the cumulative effect of 4% ARR on purchases plus 4% on sales will make it difficult for small art dealers to meet their overheads. We call upon the Government: (a) to recognise this impact on small businesses by increasing from €1,000 to €3,000 the threshold above which the Right is collected in the UK, as allowed under the European Artist’s Resale Right Directive; and (b) to exert pressure on the European Commission to change the Directive so that it is less damaging to the art market, particularly the market in works by deceased artists.

Please note: Comments expressed on this petition by the signers are not necessarily those of the sponsors who take no responsibility for them. 

Sponsor

Niall Fairhead and Christina Fairhead Fairhead Fine Art Limited t/a Images Contact Details: e-mail : nfairhead@images-art.co.uk Phone: +44(0)208 455 2700 Mobile: +44(0)7976 967216 www.images-art.co.uk

Links

Art, Antiques & Design Blog
http://olympiafineartandantiquesblog.wordpress.com/

Discussion

  • Shelley Daniels I can't think of another industry that is paid for their product when it is resold - car makers do not receive a payment when a car is resold, fashion designers do not receive payments from thrift shops reselling their clothing, authors don't receive payments when a used book is resold. This tax is unfair to independent galleries/dealers, does nothing to help struggling artists and is a huge reward for many people (heirs) who did nothing to create the art in the first place.

  • john r walker I am a professional artist, ARR is bad for living artists and more importantly it is morally wrong.

  • Anne Hyatt King Feel that the ARR is a scandalous tax forced on us by the EU. No wonder the EU is so unloved! Raise the limit now to $5000

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