Tech companies, such as Spotify and Apple Music have not made it easier for artists making music, according to the UK’s Competition and Markets Authority.
The body found that 80 per cent of all recorded music is consumed via streaming services, totalling 138 billion times.
This comes after politicians called for a revamp of streaming services’ business models, urging a “complete reset” following the “pitiful returns” it gives artists.
The report - which mainly focused on consumer habits - found that only a tiny amount of artists benefited the most from streaming, while most people made little to no money.
Sarah Cardell, the interim CEO of the CMA: "For many artists, it is just as tough as it has always been - and many feel that they are not getting a fair deal."
According to report, a million streams a month would earn roughly £12,000. It is believed that Spotify forks out between £0.002 and £0.0038 a listen while Apple Music offers £0.0059. YouTube - which is owned by Google’s Alphabet Inc - dolls out the least at £0.00052 a stream,
Catherine Willcox, half of the British country duo Ward Thomas told BBC News: "Having been in the industry for more than a decade and achieving relative success - a number-one album, sold-out tours and many exciting festival spots - it may appear from the outside that we would be fairly comfortable financially.
"However, with the decline in album sales across the board and the rise in streaming, no-one is fully sure how they will sustain a creative career as the landscape of the industry changes so dramatically."
Some in the industry have pushed for an investigation into the market but this was denied by the CMA as they say "our initial findings have not identified any significant concerns in terms of consumer outcomes relating to music streaming".