Collective Licensing for AI Training in the UK: A New Approach to Copyright and Innovation

The rapid growth of artificial intelligence (AI) has raised significant legal questions about the use of copyrighted materials to train AI models.

In response, the UK’s Copyright Licensing Agency (CLA), together with the Authors’ Licensing and Collecting Society (ALCS) and Publishers’ Licensing Services (PLS), has announced the development of a Generative AI Training Licence, expected to launch in Q3 2025.

This marks a major shift in the legal framework for AI development, aiming to balance technological innovation with the protection of intellectual property rights.

What Is Collective Licensing for AI Training?

Collective licensing is a system that allows users to access large amounts of copyrighted material legally through a centralised licence, rather than negotiating permission with each individual rights holder. It has been widely used for activities such as photocopying, broadcasting, and public performance of music.

The Generative AI Training Licence extends this model to the AI sector.

It will permit AI developers to lawfully access and use a wide range of published materials — including books, articles, and images — for the purpose of training generative AI systems, while ensuring that rights holders receive appropriate remuneration.

Rather than relying on implied consent or ambiguous legal grey areas, the new system establishes a clear contractual framework for AI training datasets.

Why Has This Licence Been Introduced?

The introduction of this licensing scheme follows concerns within the creative industries that AI companies were using copyrighted content without permission or compensation.

Initially, the UK government had proposed expanding the text and data mining (TDM) exception under copyright law to allow broad use of material for AI development without the need for licences, unless creators actively opted out.

This proposal met with strong resistance from authors, artists, and publishers, who argued that it would undermine their rights and economic interests.

Surveys conducted by ALCS showed that 81% of UK authors supported the introduction of collective licensing as a fairer solution.

The new Generative AI Training Licence represents a compromise approach: enabling AI development while respecting creators’ rights to control and monetise their work.

Key Implementation Dates

• May 2025: The CLA will extend its corporate and public sector licences to clarify permitted uses of generative AI technologies within workplaces.
• Q3 2025: The full Generative AI Training Licence will become available to AI developers, covering the use of published content for training purposes.

This phased rollout is designed to give organisations time to adapt their compliance strategies.

What Are the Implications?

The introduction of a collective licensing model for AI training has several important implications:

• For AI developers:

It provides legal certainty when using large datasets and helps avoid potential copyright infringement claims. Developers will need to factor licensing costs into project planning.

• For creators and rights holders:

It ensures an ongoing revenue stream from the use of their works in AI systems and strengthens the overall protection of creative content in the digital economy.

• For the broader legal framework:

It signals a growing trend towards regulating AI development in a way that balances innovation with fundamental rights such as intellectual property and privacy.

The UK is among the first countries to propose a practical, market-based solution to AI training data concerns, and the success of this model may influence future international developments.

Conclusion

The launch of the Generative AI Training Licence in 2025 marks a significant evolution in copyright management for the AI era. It seeks to harmonise the interests of creators and technology companies, offering a structured, lawful pathway for AI innovation while preserving the value of original works.

As AI technologies continue to advance, legal frameworks such as this will play an increasingly important role in shaping ethical and sustainable development.