This week, the college also emerged as the fourth most successful higher education establishment in the country for attracting foreign students.
Non-UK residents from 35 different nations represented 30.27% of LIPA's students in 2002/3.
Mr Featherstone-Witty said: "The international student figures show we are competing on a par with the best institutions.
"The success is down to a number of things. I hope it is mainly because of the growing reputation of the college, and our high teaching standards and results. But I suspect it is also because we are the only place doing what we are with popular arts north of Birmingham.
"Clearly Paul's name sells the reputation of the college around the world.
"If you are thinking about studying the performing arts, then the idea of coming to Liverpool where the Beatles were formed must play a part.
"It's like going to study country music in Nashville.
"Another factor in this country is a lot of people seem to want to get into the industry because of the growing popularity of talent contests on television."
A spokesperson for JMU said it would be a "great achievement" for the city if LIPA was granted university status.
She said: "Liverpool John Moores University supported the establishment of LIPA 10 years ago. Over the last decade, the university has provided a range of support both academically, by accrediting LIPA's degrees and providing student welfare services, and also financially, by acting as conduit for essential higher education funding.
"Thanks to this support, LIPA has grown into a viable higher education institution.
"In conjunction with our School of Art and Design, LIPA has played an important role in regenerating the city's cultural district around Hope Street, helping to create a truly vibrant student arts scene. For LIPA to achieve university status would be a great achievement for this unique institution, LJMU and the city of Liverpool."
There are currently 173 UK institutions offering under-graduate programmes in music.
LIPA has 51% of all Norwegians studying music, drama and dance at undergraduate level in the UK.
The college has 14.7% of the market share of US nationals, 16% of all Canadian nationals and 8.6% of all non-EU international students studying in the UK for their first degrees in music, drama and dance.