For single sales, digital and digital bundle sales now account for 99.3% of the market with CD sales representing just 1.1m of a total 177.9m singles sold in 2011. Single sales grew overall by 10% in the past year, with all top 20 singles selling over 500,000 units each.Digital album sales grew by 26.6% to 26.6m in 2011 but sales via CD declined by 12.6% year-on-year to 86.2m in total, giving digital albums sales a 23.5% market share.

Geoff Taylor, BPI chief executive, said, “It has been another record year for digital singles, but the most encouraging news of the year is the strong backing consumers are giving to the digital album format. British music fans understand that the album remains the richest way to connect with an artist’s work.”

“Digital developments grab the headlines, but the CD remains hugely popular with consumers, accounting for three-quarters of album sales. Physical ownership is important to many fans and the CD will be a key element of the market for years to come,” added Taylor.

Despite the positive remarks by the BPI about digital format increases and the success of British artists such a Adele, Jessie J and Coldplay in 2011, chairman Tony Wadsworth said the government needs to do more to protect these artists against piracy.

“Led by Adele, Jessie J, Coldplay, Ed Sheeran and others, records by British artists in 2011 achieved both critical and commercial success both at home and around the world. But the challenge of sustaining this performance against a backdrop of chronic piracy means that Government action remains absolutely crucial for British artists and their labels,” said Wadsworth.