I have a tele in my shop and I pay for t.v licence.
I have just received a letter informing me that I need a radio licence aswell!
as music can be played in programmes
Be warned a t.v licence is not enough if you are a business.

Would this be PRS (Performing Rights Society) or PPL (Phonographic Performance Licensing)? From what I've heard in the past, you need a licence from one if you are going to play the radio in a business open to the public, and the other if you are going to play recorded music (e.g. CDs, etc) - although I'm not certain which company is for which off the top of my head...

We all have to pay this, PPL is the usual licensing body and it depends on how many clients/members of the public you will be performing a public broadcast to at any one minute in time.

Radio only is the cheapest, then more for CDs and TV....with TV you need a TV licence in addition and the price is out of this world.

I managed to get away with it for a while but then I had to pay and it was just for radio.

Another way they get us small business by the goolies, I'm sure the artists don't earn much or any royalties from this as the fees likely pay for PPL administration and chasing people like us for money!

Does anyone happen to know if the TV licence applies to home salons? I am thinking an getting an extra TV for the salon for clients to watch mtv etc.

If the salon is part of your home, then I would imagine that it should be covered by your existing TV licence. As I'm guessing you don't pay business rates for your home salon - is the home salon covered by your council tax for your house as a whole? This should be argument enough to say that you don't need a separate TV licence...