THE British music industry invested nearly £500m in producing new records and signing and promoting artists last year, according to new figures.

Chart-toppers Ed Sheeran and Sam Smith are among those to have benefited from a boom in the sector, which industry bosses said is the “envy of the world”.

The latest data, from trade bodies the British Phonographic Industry (BPI) and Music Publishers Association (MPA), also revealed the number of new acts signed to major labels in 2014 was at a five-year high at 156.

The news follows a report this week which showed the UK music business contributed £4.1 billion to the economy.

Geoff Taylor, chief executive of the BPI and BRIT Awards, said: “It’s no fluke that 2014 was an terrific year for British music.”

Investment by record labels in artist and repertoire (A&R) development reached a record £178 million, while £157 million was spent on marketing. Music publishers also poured £162 million into the careers of singer-songwriters and composers, taking the total industry outlay to £497 million.