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I was at the ALCS panel discussion at the House of Commons about which Anne Rooney blogged last week, and it was pretty sobering. The figures as revealed by the ALCS survey are grim: since 2005 authors' median income has dropped by 29% and the percentage of authors making a living solely from writing has declined from 40% to 11.5%.

Yet ALCS also finds that "the wealth generated by the UK creative industries is on the increase... the creative industries are now worth £71.4 billion per year to the UK economy". In fact, it would appear that while authors are being paid less, publishers are doing quite nicely - a situation that the General Secretary of the Society of Authors describes as both unfair and unsustainable.

Meanwhile, dark mutterings and rumblings grow about literary festivals charging ticket prices and paying organisers, booksellers, musicians and entertainers - but not the authors. There's something quite absurd about all of this - the very people who create the product's value not being themselves valued.

There are, however, pockets of hope. The evening before the ALCS discussion I was at another event, at The Ivy in London. This one was organised by the Chipping Norton Literary Festival, of which I am proud to be a patron, and they'd organised it in order to make a very special announcement:

From now on, any profits made from the festival "will be split equally between all authors involved."

I should say that ChipLitFest, as we like to call it, already has a reputation for looking after authors properly - great accommodation, a fabulous green room, lovely meals, and so on - and many other festivals would have rested on their laurels. But from its inception only three years ago, the organisers have been aware that without authors there is no festival; and if anyone should be rewarded for the festival's success, it's the people who create the content.

 Any chance of publishers following suit?

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 John's latest book, Stinkbomb & Ketchup-Face and the Badness of Badgers, is illustrated by David Tazzyman and published by OUP.

 Stinkbomb & Ketchup-Face and the Quest for the Magic Porcupine will be published in August.