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The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Nigel Huddleston)
It is a pleasure to serve under your chairmanship, Mr Hollobone, and to respond on behalf of the Government to this important debate, which comes at the end of a hugely challenging year for the fairground and showmen’s sector. I thank the hon. Member for Glasgow East (David Linden) for securing this debate. I know he has spoken regularly on behalf of the sector throughout this period. I thank all Members from across the House for their contributions today and for their involvement in the APPG. I note that my hon. Friend the Member for Southend West (Sir David Amess) called for more Members to join.
[Christina Rees in the Chair]
Many Members have sent me written questions and so on over the past few weeks, and I appreciate their doing so. The interest in the issue in this Chamber is a clear demonstration of how important fairs and showground events are both to the UK economy and to our cultural heritage. It is an indication of the importance of the community of showmen, their identity and their contribution to life in the UK. As the hon. Member for Glasgow East mentioned, their contribution, for example, to charities and to their local communities during this crisis has not gone without notice.
Although the tourism and cultural issues are generally devolved matters—the devolved Administrations are responsible for any targeted financial support in their respective nations—I am on good terms and consult frequently with my devolved counterparts. I meet them regularly and will continue to do so. We learn from each other.
Outdoor events, broadly defined, make a huge and valuable contribution to our tourism industry. According to the Events Industry Forum, they generate £30 billion a year and employ directly over 500,000 people in the UK, with people having made around 140 million visits to our outdoor events of all kinds in 2018. As was mentioned, and as the Showmen’s Guild of Great Britain itself suggests, the fairground industry specifically generates more than £100 million in gross value added per year. That cannot be sniffed at.
The absence of such events for much of this year has shown how funfairs and showgrounds support many of our social celebrations, be they summer or winter festivals, or longstanding and much-loved local events, as was mentioned. The past nine months of the covid-19 pandemic have been an extreme challenge for all sectors and businesses. Showmen are no exception to that. We recognise the widespread impact that covid-19 has had not only on the successful operation of those businesses, but on the whole community and families who keep funfairs and fairgrounds going.
I would like to set out some of the support offered by the Government to date and then look to the future. In March, the first lockdown hit the visitor economy hard. It wiped out our usually bustling outdoor events calendar, marking a period of immense hardship for many events businesses and their families. However, the Government acted quickly to help businesses through that period with an unprecedented package of support, including self-employment schemes, as well as a variety of grants and loan schemes, as was acknowledged by colleagues today, although I recognise that not everyone in every sector is always eligible for all of them.
Where specific issues were identified, we acted by securing additional money to be spent by local authorities aimed at helping many tourism and events businesses, including some that were outside the business rates system. Although I know there have been points where eligibility has not been possible, showmen have seen some success in applying for bounce-back loans, small business rate grants, local council discretionary grants and the self-employment support scheme. As I said, I recognise that that financial assistance has often been offered to operators and that the nature of the sector means that there remains a significant financial impact on the wider showmen community across all sectors, which has not received all the support. I urge showmen and fairground operators to continue to apply for all the available support, as my hon. Friend the Member for Gloucester (Richard Graham) pointed out. I encourage them to apply for those grants that are available.
Throughout the summer, when restrictions were gradually eased, we helped fairs to make the most of the season. We cut the VAT rate on tourism, hospitality and leisure-related activities, including admissions to fairs, from 20% to 5%. We launched a variety of campaigns to try to encourage people to be out and about, including the Enjoy Summer Safely and the Escape the Everyday campaigns. We worked with the sector to develop detailed guidelines to make outdoor events covid-secure. As many hon. Members mentioned, becoming covid-compliant to provide security to visitors and workers in this sector has not come without significant cost and effort; I recognise that. VisitBritain introduced the “We’re Good to Go” standard, which over 40,000 businesses have signed up for, including many funfairs.
As hon. Members know, covid-19 forced us to adapt our approach in the autumn and strengthen social restrictions once again. I know that these restrictions have placed further strain on fairs and showground operators. However, I want to point out the measures introduced by the Government to mitigate some of those pressures. In response to November’s national lockdown and ongoing local measures, the Chancellor implemented further support for businesses and individuals, including extending various Government-backed loans, extending the furlough and self-employment schemes and introducing new grants.
I want to draw attention to those grants, which may be relevant to several businesses—not all, I recognise—in the fairground and showground sector and its supply chains. First, businesses that were legally required to close due to the restrictions, as was the case for funfairs during November, can receive up to £3,000 for the month. Secondly, many eligible businesses in the hospitality, leisure and accommodation sectors that were not required to close but suffered reduced demand could receive grants of up to £2,100. While the Government have set suggested criteria for the funding that states that we expect it to be
“targeted at hospitality and leisure businesses”,
local authorities will determine local needs for supporting the recovery, and they will determine exactly which businesses to support through the grants. However, I strongly encourage them to consider applications from the fair and showground sector sympathetically. That clear message, repeated by hon. Members on both sides of the Chamber, is the one we need to send today.
Finally, we have given local authorities £1.1 billion through the additional restrictions grants to help business more broadly. Again, they can determine how much funding to provide to businesses through the scheme and which businesses to target. Guidance for ARG funding again encourages local authorities to
“develop discretionary grant schemes to help those businesses which—while not legally forced to close—are nonetheless severely impacted by the restrictions put in place”.
That includes
“businesses which supply the retail, hospitality, and leisure sectors, or businesses in the events sector”.
While decisions are at the discretion of local authorities, I encourage them to make funding available to the fairs and showgrounds sector and I encourage showmen to apply for the funding—again, that has been the consistent message from the debate. We will continue to work with the Showmen’s Guild to understand covid’s impact on travelling showmen and closely monitor the fairground industry’s access to these grant schemes.
It is important to keep in mind that any further support will need to be considered in the wider context of existing support for the wider tourism and events industry and the effectiveness of measures already in place. Of course, with the exception of periods of national lockdown, funfairs and fairgrounds have been permitted to operate since July and, far from ignoring the fairground and outdoors events sector, we prioritised it for reopening. Local authorities are responsible for permitting events in their local areas.
The Government have set out a broad framework in which funfairs and fairgrounds can go ahead if they follow covid-secure guidance, adhere to all the legal requirements and put in place every mitigation to ensure that their events do not pose a public health risk. My Department has produced advice for local authorities encouraging them to work closely with event organisers on a case-by-case basis to permit events to go ahead safely. It is also important to stress that we recognise the important role of local authorities. Even if an event has taken place in the past, it is not necessarily appropriate for it to take place at the same location currently or in the future—there may be pinch points, for example. A directive from the Government saying that such events must go ahead would therefore be inappropriate, because we must recognise the local authority’s role in identifying the particular local circumstances. As I said, pinch points or other perfectly reasonable considerations may mean that events should not go ahead.
Mrs Lewell-Buck
I notice that the Minister is coming to the end of his comments. He said he recognises that not everybody can get support, so the crux of the debate is: what will he do to ensure that those who cannot get support do get it?
Nigel Huddleston
I will come to a couple of points. As I have said, the most important thing is that discretionary grants are available and that local authorities should look at this sector sympathetically.
Mrs Lewell-Buck
If that is the case, will he ensure that local authorities get more money? I know a lot of local authorities are running out of the money that the Government have already given them.
Nigel Huddleston
The hon. Lady will know that, for example, the discretionary grant fund is £1.1 billion, and it was specifically suggested that that money should go to events and locations and businesses that perhaps have not been paying business rates—particularly those who do not have a permanent location—and again specifically to the hospitality, leisure and events sector. That is clear guidance to local authorities. As I have said, other guidance is available.
The guild has shown that where entities have been able to apply for grants, they have had success. I do recognise that that is not across the board, but it is simply not true to say there has been no support. There has been significant support. I encourage all entities to apply and I encourage those disbursing the money, and those at local authority level in particular, to look sympathetically at those applications.
Richard Graham
The Minister is making a good point. To be fair, I think that the money is there, but what would be very helpful is if he could team up with his MHCLG colleagues to send a clear message to council chief executives and leaders that they should give real consideration to the needs of the local showmen and, if need be, find a councillor in touch with them to co-ordinate a needing so that the needs are understood specifically.
Nigel Huddleston
I thank my hon. Friend for his practical comments. I am happy to write again to MHCLG. The message is clear in the guidance. As far as I am concerned, those are exactly the kind of entities that should be receiving support and what the programme was designed for. I am happy to write again, but there is a record of where some have received the money. That in itself shows that they can and should be eligible.
Alex Sobel
One point made by several Members in the Chamber, including the hon. Member for North West Norfolk (James Wild), but not addressed by the Minister is that the CRF funding is in his own Department. Will the criteria be extended to allow showpeople to apply for that funding?
Nigel Huddleston
I shall be coming on to that in a moment.
Where events have been permitted, there are numerous examples of safe, successful events going ahead, such as Blackheath’s August bank holiday funfair, the Tuckers fair at Birstall, near Leeds, the Charles Cole fair in Southampton and the Winter Festivals at Lakeside, Bluewater and Brent Cross. In my constituency, the local authorities have allowed fairs and other events, and have worked with organisers to ensure that those events are safe. I have seen a good relationship at first hand.
I therefore encourage and expect local authorities to allow fairs and other events to go ahead unless there are health risks that cannot be mitigated. I will repeat that, because this is a really important message: I encourage and expect local authorities to allow fairs and other events to go ahead unless there are health risks that cannot be mitigated. As well as providing vital income for showmen, such events have of course given local communities a much-needed sense of normality while putting in place appropriate mitigations to keep visitors safe.
With regard to the point that the hon. Member for Glasgow East made about local authorities cancelling 2021 fairs, we cannot guarantee what next year will hold, or exactly when covid restrictions will be lifted, but I share his belief that 2021 offers us all at least a glimmer of hope for a return to normality. Decisions about permitting local events are at the discretion of local authorities.
As set out in our guidance, I urge local authorities around the country to consider applications from outdoor event organisers on a case-by-case basis, according to the health situation in the area at the time, and not to issue blanket bans on future events without due regard for the safety measures that we know that such events can implement and put in place. My Department and the MHCLG will continue to engage with Public Health England, local authorities and fairgrounds themselves as part of the continuing reopening process.
Several hon. Members raised the issue of the red diesel duty. At Budget 2020, the Chancellor announced that the Government will remove the entitlement to use red diesel from April 2022, except in agriculture, fishing, farming, rail and non-commercial heating, including domestic heating. The Government recognise that that will be a significant change. Ultimately, this is a matter for the Treasury, which had a consultation, as has been recognised. That consultation, I believe, has now closed and the Treasury will set out the next steps in due course once it has considered the responses to the consultation in detail. I am afraid I cannot say much more at this moment in time.
Alison Thewliss
I appreciate what the Minister says about not being able to comment on the red diesel point, but my understanding is that some European cities have plug-in points, so that funfair operators do not even need to use diesel in city centres and so on—they can use electronic charging points for their vehicles and rides. Could he support the development of that kind of thing?
Nigel Huddleston
We are always open to good and creative ideas. We can look at what our friends in Europe propose to see whether we can mirror or copy anything.
With regard to the culture recovery fund, as with any fund, there are always eligibility criteria and a restriction on it. One thing we have been trying to do—I repeat this—is to get fairs and the outdoor events sector open as soon as possible. In fact, we prioritised it. Therefore, they are able to be open, although I recognise—as we have all said today—that there are restrictions on that. The classification of what is eligible, particularly for the part of the cultural recovery fund overseen by Arts Council England, included certain sub-genres. For example, circuses are a sub-genre of theatres in the Arts Council England classification. They were included, as well as areas where there is more of a live entertainment element and more often seating than in other areas.
There was a set of criteria. Most entities that received money from the CRF were unable to open when other entities were, so there had to be a broad set of criteria and eligibility in place. I recognise that not every entity that would like to apply is eligible or able to do so, but as I said, financial support and schemes are available. Although not everybody is eligible, I encourage everybody in the sector to apply if they think they may be, rather than discount themselves by not applying.
We will continue to engage with the funfairs and outdoors events stakeholders as we look into how to support them most effectively as they recover, including through the development of a tourism recovery plan, which I and my Department are overseeing. We know that there is plenty of work ahead of us, both in terms of reopening and the overall recovery, and I am grateful for all the constructive ideas that hon. Members have put forward today. I assure hon. Members that the Government are listening, and we will continue to work with all stakeholders on ideas to further support the fairs and showground industry.
David Linden
It is a pleasure to welcome you to the Chair, Ms Rees. I pass on my thanks to the hon. Member for Kettering (Mr Hollobone) for chairing the first part of the debate. I wish him and you a merry Christmas. We have had an excellent debate. It was never my intention for it to be combative, so I am genuinely delighted with how it has gone and with some of the things that the Minister has said.
I will sum up some of what hon. Members said in what was an excellent debate. The hon. Member for North West Norfolk (James Wild) rightly paid tribute to his constituent Colleen Roper, who I have had dealings with for several months. She is tenacious in raising the issue, so he was right to put that on the record. He captured the history by talking about the royal charter established under Henry VIII for the King’s Lynn Mart. That is impressive and will not have been lost on the Minister.
In my experience, the hon. Member for South Shields (Mrs Lewell-Buck) is not someone to be wrestled with often, as the Minister probably found several times. She rightly talked about the 3 million people who have been excluded, which is an indisputable fact. She quoted the ladies from Future 4 Fairgrounds, who said that it is not just a job for people, but a way of life. That is what I mean when I say that from my flat in Glasgow, I look into the yards where these people live, and I look at their caravans and equipment alongside them. It is a way of life for them and it is important for the Government to reflect on that.
I am jealous of the hon. Member for Gloucester (Richard Graham) as an honorary member of the Showmen’s Guild. He made an incredibly informed speech. I pay tribute to his work with the coalition Government on education. I was not unaware of that; I was looking at it only this week. I thank him for putting many of those points on the record. He spoke with a lot of authority on the issue.
I pay tribute to the hon. Member for Southend West (Sir David Amess), which should be, I believe, a city—we cannot get through a debate without putting that on the record—for his leadership of the APPG. It is probably quite frustrating when a young whippersnapper such as me comes along and starts prodding people to do lots of stuff, but he has a long track record of leading on these issues, and it is a pleasure to serve under his chairmanship of that group. There was a bit of a debate, in which I was certainly never going to get involved, between him and the hon. Member for South Shields. I think we can agree that the hon. Gentleman has the best seaside city resort and the hon. Lady has the best town. Perhaps we can leave it there without having a diplomatic incident.
For the purposes of Hansard, which I am sure will have got that wrong, the hon. Member for Sedgefield (Paul Howell) was not at all suggesting that the best funfairs were in South Shields; I am sure he meant Sedgefield. He was right to talk about the nine generations that have operated over 200 years. I made precisely that point in my earlier speech about people’s long historical connection.
As Glasgow politicians, there is always a bit of banter between me and my constituency neighbour, my hon. Friend the Member for Glasgow Central (Alison Thewliss). We might disagree about who has the best constituency, but we do not disagree that the Irn-Bru Carnival at the Scottish Event Campus is much missed this year. We look forward to it coming back. She is right to put on the record some of the issues relating to asset finance. I and several hon. Friends from Scotland wrote to the asset finance companies back in March, and some have been helpful, in terms of being a bit more flexible. She is also right to talk about the impact of the way the Showmen’s Guild was set up in regions, and to put on the record the concerns of showmen, particularly in the north of England, who are missing out on the funding and will be looking to their colleagues north of the border.
The shadow Minister was right to press the issue of the culture recovery fund. Earlier in the year, I was a bit concerned about the fact that when the taskforce was undertaken, the Showmen’s Guild was told that it could not be part of it and had to be represented by the Association of Circus Proprietors of Great Britain. That is akin to asking the Brownies to represent the Scouts. That did not go down well with the guild, so is there any way of ensuring that the culture recovery fund can be looked at?
The Minister has been pretty candid today, which was welcome, in acknowledging that some people have been excluded. If there is that acknowledgement, the logical follow-through is to adapt ever so slightly—we are not talking about huge numbers of people—who is eligible for the culture recovery fund.
I thank the Minister, because I genuinely appreciate his tone and the contact that I had with his officials in the run-up to this debate, and I look forward to the meeting that is forthcoming following the question to the Prime Minister. The Government and particularly the Chancellor of the Exchequer do not shy away from a photo opportunity. The Minister should tell Rishi that being pictured on the teacups is pretty good—it probably trumps that Nando’s shot. The Minister would be welcome to join us on the teacups as well, of course. Any support that the Treasury could look at providing, particularly as we head towards the Budget in March, would be appreciated.
I am very grateful to the Minister for putting on the record quite so strongly his expectation that local authorities should not be cancelling fairs. I expect that this edition of Hansard will be going to just about every council officer from the Showmen’s Guild, so I welcome that.
The final thing that I want to talk about is diesel. I appreciate that that is not a matter for the Department for Digital, Culture, Media and Sport, but could a formal representation go from the Minister to the Treasury to say that he has heard those concerns?
David Linden
The Minister is nodding ever so slightly, so he is acceding to that request. If a letter could go to the Treasury outlining that, as the consultation has closed, that would be very helpful.
I want to take the opportunity to wish you, Ms Rees, and all hon. Members here a very happy Christmas. I am sure we are all looking forward to going on the teacups with Rishi when he gets his wallet out.
Question put and agreed to.
Resolved,
That this House has considered the future of fairs and showgrounds.