Downloaders 'spend more on music'

The think-tank Demos said it found illegal downloaders spent an average of £77 a year on genuine music, £33 more than those who claim never to have wrongly accessed music for free.

Nearly two thirds of people who admit to downloading music illegally also said that new and cheaper music services would encourage them to stop accessing illegal services.

The results come amid warnings from the Government that people who persistently download illegally face being disconnected from the internet.

A Digital Economy Bill is expected to be introduced to parliament later this month, with its draft promising to create a "robust legal and regulatory framework to combat illegal file sharing".

Demos's research found that 83% of people downloading music illegally claim to buy the same or more music as a result.

The 42% of people who admitted breaking the law said they did so to "try before you buy", suggesting that file sharing may encourage sales.

Illegal file sharers provide the music industry with an estimated £200 million in revenue, Demos added.

It found that by lowering the price of music available online to 45p per track - compared to between 59p and 99p on iTunes - providers could expect to double interest in legal sales.

The think-tank's researcher Peter Bradwell said: "This research demonstrates that cutting file sharers off may not be the best solution for the Government if they are intent on helping the music industry."