Spotify’s UK division is set to create new jobs this year, following a reduction of over 200 positions in 2024, even as profits continued to climb amidst declining revenue.
The Swedish audio streaming behemoth trimmed its workforce from 1,039 employees during the last financial year, as per recent accounts lodged with Companies House, as reported by City AM.
City AM received confirmation from the company that it had terminated 219 roles in 2024, comprising 55 voluntary resignations and 154 redundancies. However, the firm has already welcomed 141 new hires so far in 2025.
Financial results reveal an increase in Spotify UK’s pre-tax profit from £22.3m to £24.5m over the same 12-month period. This growth trend in pre-tax profit has been consistent annually since a dip from £10.4m to £9.1m in 2021.
Despite this, Spotify experienced a drop in revenue in 2024, falling from £269m to £247.1m. The company attributed this decline to reduced earnings from services provided to its parent entity, Spotify AB.
Revenue from intra-company services dipped from £201.6m to £171.4m within the year, while income generated from advertisement sales saw an uptick from £67.3m to £75.7m.
Spotify warns users’ accounts could be deleted
These figures for Spotify’s UK arm follow the broader group’s announcement of a revenue of €8.3bn for the first half of its current financial year, marking an increase from the €7.4bn recorded during the same period in 2024. However, the group’s pre-tax profit witnessed a decrease over the same timeframe, dropping from €444m to €376m.
In the wake of the UK’s new Online Safety Act coming into effect, Spotify has begun implementing age verification for a select group of users who wish to access explicit content.
This process involves facial scanning, algorithmic age estimation, and photo ID checks, facilitated through a partnership with Yoti.
In late July, the company issued a warning that user accounts could be terminated if they fail to pass these new age verification procedures.
Spotify is among the leading tech firms to introduce age checks in an effort to prevent children from accessing adult content.
Companies that do not adhere to these regulations face potential fines of up to 10 per cent of their global turnover or penalties of up to £18m.
