(2 weeks ago)
Lords Chamber
Baroness Morgan of Drefelin
To ask His Majesty’s Government what assessment they have made of the impact of uniformed youth groups on promoting skills and resilience in young people.
We recognise the excellent contribution and impact of uniformed youth organisations. The Government have directly funded their work since 2022. There is a range of existing research that shows the positive impact of uniformed youth organisations on young people and their lives. Ipsos independently evaluated the DCMS-funded uniformed youth fund from 2022 to 2025. The evaluation found evidence supporting the positive impact of uniformed youth organisation membership on young people’s well-being, social and emotional development, skills and community connectedness.
Baroness Morgan of Drefelin (Lab)
I thank my noble friend the Minister for that fabulous reply. I could not agree with her more. We know that uniformed youth groups will play a vital role in delivering the Government’s new youth strategy. Groups such as the Scouts, the Girl Guides, all our cadets, the Jewish Lads’ and Girls’ Brigade and of course the Girls Brigade and Boys’ Brigade do an amazing job. Will the Minister encourage her department to look again at the funding arrangements so that these groups can retain staff during the transition from the uniformed youth fund, which is coming to an end in March, to the new funding arrangements that will come into place with the new youth strategy? It is great to put the contribution of these groups on the record here today.
I pay tribute to all those supporting uniformed youth organisations, including my noble friend. Our new national youth strategy has been co-designed with young people. We are engaging further with young people in youth groups, including uniformed youth organisations, to ensure that their perspectives, needs and proven outcomes are incorporated. As for transitional funding and funding arrangements, I will take my noble friend’s points back to the department ahead of her meeting with Minister Peacock, which I understand is taking place early next month.
Lord Bailey of Paddington (Con)
My Lords, I declare my interest as the chair of the cadet health check team. The value of the uniformed services to our young people throughout the country is beyond doubt, particularly in the poorest communities in the country. The real challenge now is adult volunteers. The entire service is based on adult volunteers, so what work are the Government doing to improve recruitment and retention of those very valuable volunteers?
I agree with the points the noble Lord raised around the value of uniformed youth groups. One of the things our new funding arrangements will do is support the development of volunteers. I will be very happy to share some examples and discuss that further with him.
Lord Mohammed of Tinsley (LD)
My Lords, I echo comments made earlier in your Lordships’ Chamber about the invaluable service that uniformed youth services provide, particularly when it comes to life skills and experiences. How can the Government change policies to get more young people involved in these organisations so that more young people benefit from this and stand a better chance in the world of employment?
The new national youth strategy has been developed with young people precisely to make sure that the Government are directing funding towards areas that young people themselves have identified. One of the most difficult findings from some of the work done in the run-up to the launch of the national youth strategy was around the isolation and loneliness faced by so many young people. The strategy is a 10-year plan to make sure that every young person across the country has somewhere to go, somewhere that cares for them and a community they feel part of.
My Lords, I draw attention to my interests as a vice-president of the Sea Cadets and president of the successful City of London Sea Cadets. The Minister kindly discussed the new arrangements of DCMS, but the strategic defence review just six or seven months ago called for a 30% increase in the offer of the cadet organisations. What additional funding, if any, can the Minister point to that is going to facilitate this growth?
This is Ministry of Defence funding. My understanding is that the Government plan to have increased military cadet forces by 30% by 2030; this is an investment of over £70 million of new funding, as set out in the strategic defence review, which the noble Lord rightly points out was published last year.
My Lords, I declare an interest as president of the Bollington and Macclesfield Sea Cadets—there is a northern aspect to me, as you can see. Whenever I have been involved with the uniformed cadet forces, I have been amazed how they have changed the lives of many of our young people. Can the Minister confirm that sea cadets will now carry rifles when members of a guard and that they will do range-firing practices like the other cadet units?
I have absolutely no idea. I am not going to come up with a fudged answer, but I will write to my noble friend to outline whether or not that is the case.
My Lords, as a former Brownie, Guide and Guide leader, I absolutely agree with all that has been said about the worth of belonging to uniformed organisations, particularly in relation to self-esteem for our young people and the resilience that is built up. I visited my local Guide unit two weeks ago during Parliament Week, and I was very concerned to learn that a number of units have closed recently because of the lack of volunteers. Is there more that the Government can do to help with the lack of volunteers? I am working with the devolved Administrations to help highlight that.
The noble Baroness makes a valuable point, as previous speakers have done, in relation to the vital role of volunteers. You cannot have these uniformed youth groups without volunteers. Most of the funding that is outlined within the national youth strategy is focused on England, but I will take back the noble Baroness’s points, because it is a national organisation. I thank her and everyone else in your Lordships’ House who have contributed through volunteering for these groups.
My Lords, I refer to my interest as chair of the National Preparedness Commission. In 1908, Scouting for Boys—and, in 1912, the companion edition called How Girls Can Help to Build Up the Empire—was very explicit about the importance of being prepared. That remains very much at the heart of the work that those two uniformed organisations, and all the others that have been mentioned, do. This is going to be increasingly important for the nation, given all the threats and hazards that we face. Can my noble friend indicate whether or not that philosophy is going to be supported in relation to those organisations, other youth organisations and, more generally, in schools, to ensure that young people are equipped with the personal resilience skills and the skills that may be necessary to support the country in terms of the threats and hazards that we face?
I think “Be prepared” could usefully be used as a motto for Ministers standing at the Dispatch Box in your Lordships’ House as well. There is clearly a role played by cadet forces and other uniformed youth organisations in the broader resilience piece. However, a thread that goes through all our policies on youth is around that resilience that young people so desperately need. All noble Lords from across the House will be aware of the crisis that so many people are feeling, and we want to make sure they feel equipped for the challenges they may face in the future.
The Minister said in her initial Answer that the last Conservative Government set up the uniformed youth fund to give young people these life-changing skills and opportunities, and I was glad to hear about the evaluation she mentioned. It is sad, therefore, that the fund is ending in March. In the transition to the new funding arrangements, can she guarantee—as she said in response to her noble friend—that all of the organisations, including the Sea Cadets, St John Ambulance, the Guides, the Scouts and others, will continue to receive funding support so that young people can continue to have these life-changing opportunities?
I have committed to my noble friend to take the point about transitional funding back to the department. However, as the noble Lord will be aware, the uniformed youth fund was announced in the immediate aftermath of Covid and was intended to allow the groups to set up additional units. It was only ever intended to run until 2025. Therefore, the additional year has been while we have been setting up the programmes and funds under the new national youth strategy, which we are proud to say we have co-produced with young people. That is why the focus has shifted to a different way of rolling out funds.
(2 weeks, 4 days ago)
Lords Chamber
Baroness Bonham-Carter of Yarnbury
To ask His Majesty’s Government what progress they have made in the appointment of the freelance champion for the creative industries as announced in the Creative Industries Sector Plan on 23 June 2025.
Freelancers play a vital role in the creative industries, which is why we committed to appoint a freelance champion in the creative industries sector plan. Since then, we have been working closely with industry to develop the scope of the role. In two weeks’ time, my colleague, Ian Murray, who is the Minister in the other place responsible for the creative industries, will hold a round table with freelancers’ representatives in the sector to finalise discussions. We will make an appointment as swiftly as possible after that.
Baroness Bonham-Carter of Yarnbury (LD)
I thank the Minister for her response. As she says, freelancers are an essential part of our creative industries and these Benches have been asking for a freelance commissioner for a long time. We thank the Government for the champion. The Covid pandemic exposed the truth: a financial and benefits system that does not take into consideration the fragmented employment practices of the creative sector. Can the Minister assure us that not only the remit but the powers of the champion will be significant enough to work across government to enable change and end the discrimination that freelancers experience; in particular, in access to mortgages, loans, credit and pensions?
The champion-type role appointed by the Government is designed exactly for the purpose of making sure that these conversations are had and action is taken across government. We are very keen for the person who is appointed to this role to be involved in developing their own work plan, in discussion with the department, the Minister and the sector. The appointee will produce a work plan in their first months in the role, which will set out their priorities and planned actions. I might suggest that they have a conversation with the noble Baroness in that first period, so that she can be assured that they are looking at the right things that will support what is a vital part of the creative industries, but also one that has particular issues, as she outlined.
Please could my noble friend the Minister update us on the progress of implementing the creative industries sector plan? How is DCMS addressing problems of social mobility as part of the “arts for everyone, everywhere” vision?
Delivery of our ambitious vision is on track. Key achievements include the £150 million creative places growth fund allocated to six mayoral strategic authorities; we have secured agreement to boost music creator streaming income; we have announced the price cap to ban for-profit resale of live event tickets; and we have secured investment for three Bollywood films in the UK, which are expected to create over 3,000 jobs. We also have an increase in innovation funding of £369 million from UKRI and over £4 billion for scaling creative businesses through the British Business Bank. I am delighted to say that the Culture Secretary announced today that £1.5 billion will be invested to save more than 1,000 arts venues—museums, libraries and heritage buildings—across England from closure. These are just a few of the actions that we have taken so far.
My Lords, is one of the problems not that, in spite of the creative industries enjoying vast subsidies recently and throughout Covid—the Government were very generous—there are scant employment rights? The noble Baroness asked about freelancers, but the industry is rife with people who are nepotistic and people who say, “Come and work for us, but we cannot pay you”. Will the Government please track where those huge subsidies are going? I think I know; I think they are going to what are called non-executive and executive producers. Where is the money going in terms of employment rights?
There is strong evidence, including in the report from the trade union Bectu that was published last year, on some of the real issues that the noble Baroness identified within the creative industries. They particularly affect freelancers, who struggle with a huge range of issues—everything from late payment through to not getting paid or not having pensions. The Government are determined to strengthen employment rights, not least to help people thrive in good-quality self-employment. These are some of these issues that the freelance champion will need to look at to make sure that we get the type of creative industries that are fair to all those involved.
My Lords, there is concern that the Creative Industries Council, of which the freelance champion will be a member, has very little workforce representation within its newly expanded membership. It includes not one working practitioner in any area. Will the Minister promise to look at this?
I am happy to take that back to the department. I do not have a list of the make-up of the council, but I will take the point back and write to the noble Earl.
Lord Wigley (PC)
My Lords, I draw attention to my registered interests. Does the Minister accept that creative practitioners suffered disproportionately during the Covid lockdown and many from the impact of Brexit? Their predicaments are many and varied; in these circumstances, will she give an assurance that, when the appointment is made and is effective, it will relate to all the many and varied people in this sector to make sure that there is a proper channel to hear their needs?
The noble Lord describes exactly what a freelance champion should do: to be a representative and voice for all those across the sector. I will make sure that I forward the working spec to all noble Lords who have taken part in this debate.
My Lords, I genuinely congratulate the Government on the appointment of a person to look at these things. Notwithstanding what my noble friend said, the creative industries have been an absolute powerhouse in creating opportunities for young people. When the Kickstart scheme went live—I was involved—they embraced it, especially the people at Pinewood Studios. They gave them opportunities, such as James Bond, and some of us might remember the Ealing comedies. This was very good, but please can the Minister tell us whether the Government have done any impact assessment on the Employment Rights Act and the national insurance hikes? I think we will find that they have stopped opportunities for young people, so I hope it is something that the commissioner will look at.
One of the key priorities for this Government is to make creative careers accessible for everyone, including by making sure that we get career opportunities for more people from diverse backgrounds. I will have to come back to the noble Baroness on those points. We want to make sure that we get join-up, on which this freelance champion will engage.
My Lords, my noble friend the Minister will agree with me, I am sure, that, within the overall creative industries, the arts sector—performing and visual arts, and museums—is a significant employer of freelance practitioners. I would just say that within that sector there is a great deal of good practice in the employment of those freelancers. What progress has been made on the excellent report that our noble friend Lady Hodge recently produced on the Arts Council, which funds many of those organisations?
The Government and particularly DCMS strongly welcomed our noble friend Lady Hodge’s review of Arts Council England. It is an excellent read, which I commend to any noble Lords who have not read it. We are planning to publish our full response later this year, but we are already looking in detail at how our noble friend’s recommendations could be worked through.
The Earl of Effingham (Con)
My Lords, Minister Murray in the other place is driving success for creative industries in Liverpool but relies on government funding. As we have just heard, the Arts Council has advised, quite rightly, that a mixed-economy model, which combines public funding and private investment, produces the optimum outcome. Is DCMS working with the Treasury to make it easy for companies to invest and give them some kind of tax break incentive, the net result being positive for the sector and economic growth?
There are a number of tax incentives within the system currently. We are very clear that there is significant investment in creative industries in this country. I outlined some of those in relation to the rollout of the sector plan. We are very confident that we are working across government on the issues that the noble Earl raised.
(3 weeks, 4 days ago)
Lords ChamberTo ask His Majesty’s Government what progress they have made towards implementing protections for children from harmful in-game purchases, including loot boxes.
The Government are committed to ensuring games are enjoyed safely and responsibly by everyone, including children. Industry-led guidance to improve protections to players in relation to loot boxes was published in 2023. A 12-month implementation period ended in July 2024, and we commissioned independent research to assess its effectiveness. We have engaged relevant government departments and regulators to consider the research. We will publish the report and set out our next steps in the coming months.
My Lords, I am grateful for that reply. Is it not time that loot boxes were recognised for what they are—a form of gambling highly addictive to children? The last Government opted for industry-led regulation, but independent research shows that it is not being effectively applied. Will the Government act to ensure safe regulation, particularly for children?
Clearly, protection for children is key. But as the noble Lord rightly states, loot boxes are not currently legally considered gambling, as individuals are not able to cash out their purchases as currency. Where unlicensed gambling is identified, the Gambling Commission has shown that it will take swift enforcement action. I mentioned the report that was finalised and received in December; the Government are considering the implications of these findings along with other government departments and relevant regulators. We have committed to publishing its findings and we will do so shortly alongside our next steps, including keeping our position on possible future legislative options under review.
Last year, research published in the Journal of Behavioral Addictions found that, of 394 popular mobile console and PC games containing loot boxes, only 8.4% correctly disclosed their presence. Action on non-compliance by the Advertising Standards Authority is taken through informal resolution, without transparency or meaningful consequences, resulting in a failure to deter. Neither the ASA nor the Gambling Commission is taking ownership of the gap in enforcement. Will the Minister convene a meeting of the ASA and the Gambling Commission to clearly define responsibilities and strengthen enforcement action against companies which continue to breach the rules?
As the noble Baroness would expect, I regularly meet with the Gambling Commission and discuss its enforcement activity. I have also met with the Advertising Standards Authority, and, indeed, officials also meet with representatives of the ASA and the Gambling Commission on a range of matters. DCMS has previously raised concerns detailed by Members with the ASA, and I am happy to do so again. Although we are confident that the two regulators talk to each other, I will take steps to make sure that they are liaising very clearly and in detail on this particular point.
The Earl of Effingham (Con)
My Lords, the Gambling Commission report is clear: many children spend their money on gambling, and 31% of young people who saw gambling-related content on social media say influencers had advertised it. Whether it is loot boxes or social media, we now have a mountain of indisputable evidence. Children are addicted to smartphones, and gambling is a small part. Why are the Government not acting on the voices of parents and teachers across the country who are urgently asking for a formal smartphone ban in schools?
As the noble Earl will be aware, most schools—90% of secondary schools and 99.8% of primary schools—have a mobile phone policy limiting students’ use of mobile phones during school hours. We do not want to exclude children from services which are age appropriate. In relation to screen time, the Government are taking action, but it is important to recognise that screens are part of family life now. The question that parents are asking is not whether they should use them but how to use them well. The Government are going to issue their first guidance on screen use for under-fives in April. This will include tips on how it can be incorporated into activities such as talking, reading and playing safely.
Baroness Gerada (CB)
My Lords, I refer noble Lords to my declaration of interest: I run a service for those with gambling-related harms on the NHS. I wonder whether the Minister considers that any product where you can exchange money for a random reward could be classified as gambling, which loot boxes are. The Minister mentioned that the reason why loot boxes are not classified as gambling is that there is no exchange in real life of the monetary reward. That is currently very disputed. You can exchange, in the so-called grey market, the money that you gain. Loot boxes have all the features of gambling, and to call them gambling lite does not protect children and young people.
I have not referred to them as gambling lite. The law is clear that loot boxes are not currently legally considered gambling, for the reasons that the noble Baroness outlined. The grey market is not a legal market, and the Gambling Commission and the Advertising Standards Authority, where appropriate, take action on illegal gambling in whatever form it takes.
My Lords, we have talked about this quite often before. The fact of the matter is that, even if loot boxes are not to the technical definition of gambling, they are close enough. The Government sound as if they are hiding behind pedantry here. Can we take some action that stops this compulsive behaviour being pushed on to children?
This is about making sure that children are safe. The Government are committed to ensuring that games are enjoyed safely and responsibly by everyone, including children. The Government maintain the view that loot boxes should not be purchased by children, unless enabled by a parent or guardian, and that is our clear position. All players should have access to spending controls and transparent information. This is why we have funded detailed academic research into the implementation of loot box guidance, which, as I mentioned earlier, will be published in the near future.
With quite a number of countries around the world having already banned loot boxes and quite a number of gamers having developed a resistance and an anger about them, some online commentary suggests that loot boxes are already on the way out. There is the next new thing, which is known as sweeps or sweepstakes, which involve buying coins for social gameplay. Then, engaged in that, there is a raffle-like or a slot-machine-like process that produces rewards. Are the Government aware of that? Are the Government looking at that? We know that the industry will react—if you just legislate against loot boxes, it will try and find something. Do we not need legislation that covers the whole thing of a gambling-like system set up in gaming?
The noble Baroness correctly identifies that sometimes our debate does not necessarily keep up with developments. One of the major protections we have in place is the Online Safety Act, which applies to online services that allow users to share content and interact with each other. As I have said in previous responses, the Government keep up to date with developments and keep all options under review.
My Lords, is it not the case that gamblers face bigger problems from offshore unregulated sites? What will the Government do to make sure that those are held accountable, given that there has been a massive growth in recent years on such sites?
My noble friend is referring to what we are doing to tackle the illegal market. As Members of your Lordships’ House will be aware, as part of the Budget the Treasury announced an increase for remote duty but at the same time increased funding to tackle the illegal market. We will be working with the licensed sector on how we increase enforcement—obviously, this will be led by the Gambling Commission—to make sure that we focus on tackling the illegal market, which is an element of the risk that people associate with online activity.
My Lords, the Question asked by the noble Lord, Lord Butler, pointed out that voluntary industry regulation was not working, and evidence now exists that that is the case. Are the Government satisfied with continuing with industry-led regulation, or do they see that change is required to keep children safe from these loot boxes?
This is exactly the matter being dealt with in the research that the Government have commissioned, which will be published in the near future, along with the Government’s response. I am happy to invite noble Lords who have raised concerns about this into the department to be briefed on the research and the Government’s response in due course.
(4 weeks ago)
Lords ChamberTo ask His Majesty’s Government what steps they intend to take to support the heritage craft and building sector; and how they will develop its skills pipeline.
The Government are committed to supporting the heritage, craft and building sectors to protect, maintain and adapt heritage for future generations. Last year, I hosted a round table on challenges facing the heritage skills sector and met my noble friend Lady Smith of Malvern, the Minister for Skills, to discuss the sector’s specific needs. A follow-up sector round table is being organised. The Government are providing an additional £1.2 billion a year towards skills development until 2028-29. We are working across government to ensure heritage skills are supported.
My Lords, I thank the Minister for the meetings we have had in this area. Does she agree that, with our heritage in crisis with regard to the repair and maintenance not just of our historic homes and churches but of much pre-1919 build, specialist skills are needed more than ever for an industry that is split across government departments but crying out for a co-ordinated policy? Will the Government provide clear training pathways from school to professional practice, including better level 3 funding and, post-18, a better choice of university-comparable practical courses, building on examples such as York Minster’s apprenticeship centre?
I agree with the noble Earl about the need for specialist skills and the many organisations around the country that are doing excellent work in this area. I was hugely impressed by the offer at York Minster when I visited last year, and by the calibre and commitment of the apprentices and teaching staff. We are currently working with the heritage sector to identify key skills gaps and on how to protect the future of heritage skills. Through fully funded SME apprenticeships for under-25s, this Government are giving every smaller heritage organisation the opportunity to deliver flexible, affordable apprenticeships.
My Lords, there are approximately 60,000 thatched properties in the United Kingdom. The great majority are in the county of Devon in which I live; in fact, I live in a thatched property. Thatch used to be a sign of poverty; it is now deemed to be a sign of wealth—I cannot quite get my head around that when you look at the levels of insurance we are obliged to pay. The problem is that 75% of thatched properties are listed properties and therefore extremely expensive to maintain. Can the Minister give some encouragement to the idea that there might be parity and that we can get rid of the anomaly between VAT on newbuild and VAT on repair once and for all? Given that there are now only about 1,000 thatchers in the country, what can the Government do to encourage that skill and to encourage better access to authentic reed and thatch to maintain and enhance an important part of our built rural heritage?
I am very aware, as the noble Lord clearly is, of the shortage of specialist thatchers. Since I have been in this role, I have learned a huge amount about the different types of techniques that are used around the country. This is one of the issues we have been talking about with the sector. I point to the work of museums such as the Weald & Downland Living Museum in this area, as well as other organisations.
On VAT, noble Lords will be aware that that is a matter for the Treasury. However, I ask the noble Lord to note that a blanket VAT cut for all historic building repairs would be a significant fiscal intervention and potentially subsidise repairs that might have happened anyway. In a tight fiscal climate, it is arguably better value for money to direct taxpayers’ money into targeted funds such as the heritage at risk grants or the Heritage Revival Fund, where we can ensure that every pound delivers genuine public benefit and regeneration rather than a broad tax relief.
My Lords, the time was when schools—particularly boys’ schools, sadly—routinely taught woodwork and metalwork, which led young people into the crafts and skills that are now in such short supply. Given the importance of heritage craft skills to the economy, as well as to well-being, what steps are being taken to reintroduce these important subjects into schools to encourage enthusiasm for skills so that the shortages in the workforce can begin to be remedied?
Helpfully, my noble friend Lady Smith is sitting next to me, and I have confirmed with her what I understood to be the case, which is that schools still routinely teach children those skills. One of the challenges is how we make sure young people understand the exciting careers available. Within some of the work that is going on with regard to building skills and the targets for new homes, there are a lot of retrofitting skills and expertise being rolled out, which is clearly one way in which we can make sure that we restore heritage buildings given the amount of our built environment that is over a particular age.
My Lords, I thank the Chief Whip. I am very interested in what the noble Baroness has said about the range of initiatives, and very glad that she is talking to the rest of the heritage sector. The question that was raised, however, was about the strategic direction and need for systematic and scaled-up investment on a credible and systematic basis in terms of heritage skills. Although we need the skills to bring the historic environment up to scratch and to make the most of it, whether we are repurposing buildings or restoring them, this is not a niche issue. These skills are transferable into the whole of the construction economy, and we desperately need a lot of additional quality in that sector as well. Can the Minister give me some assurance that there is an endgame here where we will see a significant increase in the quality of apprenticeships and other qualification routes, whereby we will build our capacity to do these jobs over the next decade?
I am sure that my noble friend is in no doubt about the commitment of the Prime Minister and this Government to apprenticeships. From my perspective, it is an exciting opportunity for us to make sure that we increase the number of apprenticeships available in heritage skills. We have a problem in that heritage construction is not recruiting fast enough to replace an ageing workforce; that will become critical if we do not address it. Rather than tell the sector what we think should happen, I want to work with it to make sure that we get the workforce we need for the future to restore and maintain our incredible built environment within the heritage realm, which we know the public value hugely.
My Lords, as the Minister recognised, our historic churches do not just rely on the talents of skilled craftspeople; they provide fantastic opportunities to acquire new skills and pass them on—I have met some of the stonemasons at Gloucester Cathedral who are apprentices there. For a second year running, the custodians of our churches and cathedrals are uncertain about whether the Listed Places of Worship Grant Scheme will continue beyond March. Some 260 churches and cathedrals have said that they have put essential repair works to one side while they wait to see whether this will happen. Can the Minister shed some light on whether the scheme will go beyond March and whether the cap that was imposed last year might be lifted?
The noble Lord is aware that the current scheme is funded until the end of March, when the budget is reached. We are very clear as a department that huge value is placed on listed places of worship by local communities and by their congregations. We extended the scheme in recognition of the importance of the listed places of worship scheme. The cap has not affected the majority of applications—94% of applications will be unaffected by the change; most claims are under £5,000. Immediately before Christmas, I met key stakeholders such as the National Churches Trust and the Church of England to make sure that they are kept up to date on where we are going as a department. I appreciate that people will be anxious to know about potential future funding and potential changes, and I will provide an update as soon as possible.
Baroness Freeman of Steventon (CB)
My Lords, government funding for level 2 and 3 diploma courses in some building crafts, such as stonemasonry, has recently been withdrawn. For a craftsperson, who is usually a micro-entity business, to take on a novice apprentice without previous foundational training is a big risk and potentially a big immediate cost. How are the Government planning to support busy craftspeople to take on novice apprentices?
I recognise what the noble Baroness said about the issues faced by some craftspeople in taking on apprentices. That is why I met my noble friend last year and why we are working with the sector to make sure that what we put in place, and what is put in place by the sector and supported by government, reflects the needs of the heritage sector so that we get the workforce that we need.
(1 month ago)
Lords ChamberMy Lords, I add my thanks to the noble Lord, Lord Fowler, for securing this debate on UK broadcasting. Given the limited time that we have, I will commit to writing to noble Lords on points that I cannot cover in my concluding notes—I have a lot of bits of paper in front of me, so noble Lords must please bear with me.
As the noble Lord highlighted in his opening remarks, he and many others across your Lordships’ House have significant interest and expertise in this subject. It has therefore been a wide-ranging debate, with much to consider. I agree with the noble Lord, Lord Razzall, that your Lordships’ House undoubtedly has a particular interest in news and current affairs. I note that I enjoy hearing the right reverend Prelate the Bishop of Manchester on “Thought for the Day”, as I know many others do.
We are rightly proud of our broadcasting sector in the UK. It is unique, with a dynamic, mixed ecology of public service broadcasters, commercial broadcasters and streamers. It is a sector that is indispensable to our culture, society and economy. However, there are many different pressures on the broadcasting sector at the moment, as contributions to this debate have illustrated powerfully. It was particularly helpful to have the perspective of the noble Lords, Lord Hampton and Lord Bailey of Paddington, who talked about the generational shift and the fact that not everybody recognises themselves in our public service media or uses the BBC and other public sector media to access media. We need to be clear that there is a broader issue, and a broader fight for truth and unbiased broadcasting, with new challenges in the market and increased competition. These are just a few of the issues that the sector is currently facing. It is vital that we do not lose the need to address these issues and that we ensure that the UK’s broadcasting remains one of our greatest assets.
Today’s debate comes, as I think most noble Lords highlighted, shortly after the Government have published the BBC royal charter review Green Paper. Before I go on to cover the charter review briefly, I will speak to some of the work that DCMS is undertaking more generally in relation to broadcast media. The noble Lord, Lord Black of Brentwood, highlighted the importance of the implementation of the Media Act. I acknowledge the work on this Act by the noble Lord, Lord Parkinson of Whitley Bay. As noble Lords will be aware, the Media Act 2024 made much-needed changes to the regulation of public service broadcasting. Since the previous Act, internet access and streaming services have fundamentally changed how audiences access content. My noble friend Lord Chandos highlighted the importance of the regulatory framework. The commencement of the modernised public service broadcasting framework on 1 January marks an important milestone in the implementation of the Media Act and demonstrates this Government’s continued commitment to ensuring the regulatory framework that our PSBs operate in keeps pace with changes in the media landscape.
As part of the Media Act implementation, we will be extending vital audience protections and accessibility requirements to mainstream video on demand services, securing a fairer competitive environment for our broadcasters by ensuring that TV-like on-demand services are regulated to similar standards as traditional TV. In response to the question from the noble Baroness, Lady Bonham-Carter, on prominence, we are in the process of implementing the new online prominence regime, which will require particular TV platforms to carry and give appropriate prominence to PSB TV apps. This will ensure that UK viewers can continue to find and watch the public service broadcasting content they value on demand.
I move on to the BBC now. Despite the noble Lord, Lord Londesborough, not getting on to its graduate scheme, I would argue that he has done all right—it is clear that we have gained and the BBC has lost. The noble Earl, Lord Clancarty, highlighted the moral case for the BBC and for funding the BBC. Not surprisingly, the future of our national broadcaster was raised throughout the debate by a number of noble Lords, including the noble Lord, Lord McNally, whose speech I enjoyed and will reflect on.
On the points raised by the noble Lord, Lord Fowler, in his opening remarks, I agree that we should defend the BBC. I also agree with the noble Baroness, Lady Stowell of Beeston, that the BBC must own its problems and failings in order to rebuild trust.
In response to the noble Lord, Lord Hastings of Scarisbrick, I say that the Government are also clear that the BBC is a vital part of our society that projects British values, creativity and integrity to the world. It underpins our creative industries and is pivotal in telling our national story. In the words of the Culture Secretary, which the noble Lord, Lord Hall of Birkenhead, quoted:
“the BBC, alongside the NHS, is one of the two most important institutions in our country”.
I was pleased to hear the noble Lord, Lord Razzall, echo the Secretary of State in saying that it is the light on the hill.
From Salford to Belfast, the BBC has a footprint in our nations and regions that is unmatched by any other, and it is one of the most trusted news providers, both at home and abroad. The noble Lord, Lord Hall, described some powerful examples of how the BBC tells our national story, as did the noble Baroness, Lady Bonham-Carter. My noble friend Lord Chandos highlighted the importance of drama.
As our national broadcaster, the BBC fulfils a vital public service role, telling the story of who we are: our people, our places, and giving cultural definition to our communities. As made clear by the noble Baroness, Lady Prashar, the BBC was created to serve the whole of society. The noble Baroness made a powerful case for the BBC being a public service resource and for universality—no doubt themes we will return to throughout this year of debate on the charter review.
As noble Lords are aware, we have launched the BBC charter review. This will set the terms of the BBC for the next decade, and, through it, we will collectively write the next chapter of the BBC story. Through the review, we will ensure the BBC is sustainably funded, commands the public’s trust and continues to drive growth, good jobs, skills and creativity across every region and nation of the UK. The charter review will look at how to secure the BBC’s future against a rapidly changing media landscape to ensure the BBC does not just survive but thrives for decades to come.
The noble Viscount, Lord Colville of Culross, highlighted the digital age we are in, noting that how the BBC embraces this ethically and for the public benefit will be key. The debate on how to do this will be central to the BBC charter review, and it was helpful to hear from the noble Lord, Lord Dodds of Duncairn, about the variation across different parts of the country, including the extent and proportion of people who access free-to-air content.
The noble Lord, Lord Parkinson of Whitley Bay, focused on funding models. Essential to the charter review will be ensuring the financial sustainability of the BBC. We approach this charter review with an open mind, and we are consulting on a range of funding options, including how the BBC can operate more efficiently and generate more commercial revenue, and how the licence fee might be reformed.
Let me address the point on non-payment, made by the noble Lord, Lord Razzall, and on the value for money the BBC represents if broken down to a daily cost per household, made by the noble Lord, Lord Hastings. We know that some funding options would represent a significant shift for both the sector and the BBC, as well as for audience experiences and expectations. We want to see a thriving media sector, including our public service broadcasters. Our decision-making in relation to the Green Paper will carefully consider the potential impacts on this ecosystem.
As the consultation is ongoing, it probably would not be appropriate for me to comment in detail on the range of fascinating views that have come out of today’s debate. I know, however, that the noble Lord, Lord Parkinson, clearly does not agree with some of the suggestions. I look forward to future debates with him and with others across your Lordships’ House as the year, and the work of the Government on the BBC royal charter review, continues.
I will try to cover a few of the other points made relating to the BBC; I apologise if I miss any out. The noble Lord, Lord Black of Brentwood, spoke about BBC market impact on local online news. We recognise the importance of a plural local news sector and are aware of the issues and headwinds facing the green sector. As noted in the Green Paper, we want to make sure that the BBC works alongside, and does not crowd out, high-quality local media organisations.
The noble Earl, Lord Clancarty, raised BBC board appointments. Most board appointments are for the BBC to make independent of government; moving forward, it is important that the BBC continues to demonstrate how it is working diligently to maintain the high standards for which it is rightly recognised. As we set out in December, the charter review will look at strengthening the BBC’s independence so that the public continue to have trust in the organisation and its programmes and content, and that will include considering the Government’s role in board appointments.
The noble Lord, Lord Fowler, raised a number of points concerning political interference. We are clear that the BBC is the world’s most trusted international news service. A critical reason for that is its independence from government and other political actors. This Government are committed to ensuring that the BBC remains, I emphasise, fiercely independent. This is vital to the principle of press freedom more broadly.
The noble Earl, Lord Clancarty, the noble Lord, Lord Hannay of Chiswick, and others raised the importance of the World Service. We are clear that the World Service is vital, which is why we gave it a £32.6 million funding uplift this financial year. It is a vital element of our soft power and a big part of why the BBC can be seen as that light on the hill. I will come back in writing on the point raised by the noble Lord, Lord Parkinson, about ongoing certainty of funding, because I do not have the answer—one of the disbenefits of speaking just before the Minister is that it is quite difficult to get answers inserted at the last minute. The noble Lord, Lord Hannay of Chiswick, also referred to BBC World Service funding. Our ambition is to establish a long-term sustainable funding model that provides predictable and stable funding for the World Service through the charter review. We will be able to come back to this throughout the year.
The noble Lord, Lord Fowler, made a point about the potential influence of foreign state actors. We feel quite strongly about this as well. As I said, the Government are committed to making sure that the BBC has that freedom and remains fiercely independent.
As a postscript to this section of the debate, a number of noble Lords, including the noble Lords, Lord Vaizey, Lord Hannay and Lord Inglewood, raised the lawsuit by President Trump. It is not for the Government to comment on ongoing legal matters, but I point your Lordships’ House to the assertion by the BBC’s chair, who has gone on record strongly disagreeing with the assertion that it was the basis for a defamation claim.
I move on to public service broadcasters more generally. It was really useful to hear the perspective of the noble Lord, Lord Grade of Yarmouth, on PSBs. I also found the contribution on this from the noble Baroness, Lady Stowell of Beeston, of huge interest and it should be reflected on. The noble Lord, Lord Fowler, highlighted the increased scrutiny of public service media, including the BBC. As has come through in the debate, not least from the noble Lord, our public service media is wider than the BBC and we need trust to be retained and, where necessary, rebuilt across the range of broadcasters.
The Secretary of State has been clear that we will ensure that the high standards we expect from our public service media are reflected across the whole of broadcast media so that the highest standards are upheld. Generally our media have high standards, but we must not be complacent. The noble Lord, Lord Fowler, highlighted the importance of truth and the noble Baroness, Lady Wheatcroft, highlighted the debate around politicians presenting current affairs. Polemic should not be presented as fact. The lines between broadcast news and opinion are in some cases becoming dangerously blurred. It is a dangerous place for democracy if people cannot trust what they see and hear. I appreciate the point made by my noble friend Lord Parekh about truth, trust and bias. This is why balance matters. We are now considering whether the Government need to go further to protect audiences.
Public service media providers are contending with funding shortfalls, changing and new habits, and regulation that has not really kept pace with the media revolution of recent years, and we want to fix this for the future. We want to ensure our public service media can continue to thrive and compete with global competitors as viewing shifts online so that they can continue to do what they do best. That is why we have committed to taking action to support public service media and the wider TV sector in the Creative Industries Sector Plan. We are also considering the findings in Ofcom’s public service media review, which will inform our work, and engaging with the sector on next steps. We also recognise the need to diversify the TV workforce, move commissioning out of London and ensure the whole nation is reflected in the story we tell about ourselves as a nation. We will work with the sector to ensure the right framework, conditions and support are in place for this to happen.
I have a couple more points which I will cover, but I am going to conclude to allow the noble Lord, Lord Fowler, to respond before we run out of time for this debate.
On local news, which the noble Baroness, Lady Wheatcroft, raised, the Government recognise the importance of local media, including local TV and its role in providing trusted and accurate news at a local level. I am pleased that local TV licences have been renewed by Ofcom to enable local TV to continue until at least 2034.
In relation to a point about Netflix made by the noble Lord, Lord Black, and the noble Baroness, Lady Stowell, who asked for assurance on Netflix’s proposed acquisition of Warner Brothers, given the legal and commercial sensitivities involved, it would not be appropriate to comment on any potential live media merger involving US media companies, but should any merger progress, the Competition and Markets Authority will examine the implications for competition and consumers, providing relevant jurisdiction criteria are met. We remain in regular contact with stakeholders, including the BFI and the UK Cinema Association, on how best to support the UK film and cinema sectors.
I am going to ditch the bit on radio, although I love radio, as does the noble Lord, Lord Hacking, and the right reverend Prelate the Bishop of Manchester, but I will again plug the programme by the noble Lord, Lord Vaizey. The point made by the noble Earl, Lord Clancarty, highlighted the pipeline that BBC Radio has provided for some of our greatest talent.
I will conclude there. It is clear from the debate today that UK broadcasting is at a pivotal moment. The Secretary of State was clear when she spoke at the Royal Television Society’s Cambridge Convention that public service media is fighting to be seen and heard in an increasingly competitive market. Our public service media is dealing with multiple challenges in funding, viewing habits and regulation. I know we will return to this debate throughout the year, but it has been a useful first step in our discussion on the future of broadcasting.
(2 months ago)
Lords ChamberTo ask His Majesty’s Government how they intend to improve social mobility for careers in the arts and creative industries.
My Lords, making creative careers accessible for everyone is a key priority for the Government. I agree wholeheartedly with the premise of the Question that there is an issue for us to address. That is why our refreshed £9 million creative careers service will focus on supporting priority areas where young people face the greatest barriers to accessing creative opportunities. It is also why last month we announced new funding for the King’s Trust to support direct routes for underrepresented groups into jobs, education and training in the sector.
My Lords, the Sutton Trust finds that there are barriers to young people from lower socioeconomic backgrounds at every stage of the creative industries pipeline—in schools, higher education and job opportunities. Does the Minister agree that the continuing loss of arts courses in higher education, from the loss of the prestigious undergraduate drama course at the Bristol Old Vic to the suspension of music courses at Nottingham University, does not sit well with the Government’s intent to improve arts education in state schools and increase social mobility in the creative industries?
High-quality arts education cannot be for the privileged few. To provide certainty over future funding, we are increasing tuition fee caps by forecast inflation next year and the year after. Alongside this, we continue to invest in creative arts through the strategic priorities grant, which includes support for world-leading creative institutions. We will also revitalise arts education in schools through a reformed curriculum and support for teachers.
My Lords, does my noble friend the Minister agree that the millions of pounds of investment announced by Cardiff-based company Bad Wolf at the summit in Newport will create thousands of creative industry jobs and support local business and talent development? The projects will include investment in trainee placements and work shadowing opportunities, which is a great example of social mobility in practice.
I recognise what an important role my noble friend has had in inspiring young people to take up creative careers through her role and career as a teacher. We welcome the £2 million investment committed by Bad Wolf at the Wales Investment Summit last week, which is set to bring £30 million to the Welsh economy. Bad Wolf is a UK success story, having created thousands of jobs in Wales, and a key driver of the success of the Cardiff creative cluster, one of the largest film and TV hubs in the UK. It is really great to see that this investment will further grow this thriving cluster.
Baroness Bonham-Carter of Yarnbury (LD)
My Lords, to follow up on what the noble Baroness said, increasing the take-up of apprenticeships could help the many with aspiration and aptitude, but no financial net, to get into the creative industries. As the Minister is aware, the present apprenticeship system does not fit well with the sector, given the prominence of SMEs and freelancers. Can she give us an update on reform in this area? How is her department progressing with Skills England to consider industry proposals on how a reformed growth and skills levy could better work with this industry?
We are working with the DWP and Skills England to refine and develop the growth and skills offer to deliver apprenticeships and skills training that recognise the particular needs of the creative industries. We will introduce short courses in areas such as digital, artificial intelligence and engineering to support industrial strategy sectors such as the creative industries from April 2026. The first wave of these courses will be called apprenticeship units.
My Lords, the Minister will be aware that one of the ways we support young people to enter careers in the creative industries is through the music and dance scheme, but that scheme has not been reviewed since 2011. The eight schools that participate, ranging from the Royal Ballet School to the Purcell School and others, are on their knees for multiyear funding and some sort of increase on 2011. What can the Minister do to support these very important training institutions that will produce the Billy Elliots, the Nicola Benedettis and the wonderful artists in the creative industries of the future?
I am very happy to meet the noble Baroness to discuss this. I agree that those schools have an incredible record in this area. We are reforming the area of post-16 training pathways generally to make options simpler, clearer and better aligned to student needs and employer demand. We want to make sure that we preserve the best and increase opportunities by opening those up through our work. My noble friend Lady Smith, who is sitting beside me, is working to open up the skills area across the piece.
My Lords, a recent survey by BECTU, the broadcasting union, found that 49% of new entrants to the creative industries have been pressurised to take on unpaid work, often in the form of unpaid internships. Can the Minister tell the House whether the new fair work agency will be tasked with enforcing minimum wage legislation against unpaid internships and ensuring that internships are genuine learning experiences?
Noble Lords will be aware that unpaid internships are already largely banned. The law is clear that if an individual is classed as a worker, they are entitled to at least the national minimum wage, and anybody eligible must be paid accordingly. The Government published a call for evidence on unpaid internships, which closed recently, and our response is due to be published in early 2026. I am happy to meet the noble Viscount to discuss this and other issues raised in the excellent report by BECTU; I will also draw his attention to the response on unpaid internships when it is published.
My Lords, music hubs play a key role in teaching music in state schools, so they play a key role in social mobility for the careers in music, stage, film and theatre that we are talking about. The management of music hubs is the subject of a tender that was due to be placed currently but has now been postponed until the new year. I know this is causing concern, so can my noble friend the Minister talk to our noble friend Lady Smith, who is sitting next to her, to ensure that the tender and the setting up of the national centre for arts and music education go ahead as planned?
The Government are making good progress on the national centre for arts and music education, which will lead the music hubs programme from September next year. As my noble friend rightly identifies, this is a DfE programme, so I will offer to write to her with the details she asks for.
My Lords, alongside internships, work experience programmes are a very effective gateway for young people who are considering a career in the creative industries. Will the Minister ensure that all taxpayer-funded creative organisations offer a fair and transparent work experience programme that is widely advertised and available to all, whatever their background?
One of the key barriers to social mobility is opportunity. We are keen for those programmes not to be overly informal because, as soon as they are, they become very dependent on networks and exclusive entry routes. We are clear that we need to make sure that the roles filled through personal networks, including work experience, are open to everyone. This is an issue that the Minister of State in DCMS is keen to explore further, but I will write to the noble Baroness with specific details.
My Lords, a recent study by the Association for Art History and the Courtauld Institute of Art showed that just 17 state schools offer history of art at A-level, and only two of them are north of Nottingham. The subject is important not just for those who might become the curators and museum directors of the future but for a generation that will need to distinguish fact from fiction in an age of AI and deepfake images. What are the Government doing to make sure that everybody, no matter who they are, where they live or what their parents did, is able to enjoy this part of our shared cultural inheritance?
I agree with the noble Lord opposite that it is important that people get the opportunity to study art history. I raised this with a sector organisation this morning. That organisation was very clear that, although it is concerned about the geographical distribution of art history, there are so many more routes in. It was keen for us to make sure that people know about the opportunities that exist within the sector, because if people do not know about the opportunities that exist, how do they get those jobs? I am keen to explore this, both with my noble friend and with others, but, beyond that, there is a basic question about how we make sure that, in primary schools, children of all abilities and interests get to know about the hugely exciting range of opportunities that exist within the creative industries and sector as a starting point for what they might study later.
(2 months, 1 week ago)
Lords ChamberThat the draft Regulations laid before the House on 30 October be approved.
Relevant document: 41st Report from the Secondary Legislation Scrutiny Committee (special attention drawn to the instrument)
My Lords, the foreign state influence regime is designed to prevent foreign states controlling, influencing or owning our newspapers and news magazines. It is essential that we safeguard our free press and a pluralistic media landscape for the sake of our democracy. Newspapers remain a vital trusted news source. The Ofcom survey News Consumption in the UK: 2025 reported that 73% of regular news users consider newspapers trustworthy, which is more than any other media.
However, noble Lords are aware of the considerable challenges faced by the news media industry. Newspapers require investment to grow and thrive. Balancing this need for investment with protecting news from the influence of a foreign state is at the heart of the foreign state influence regime. This is what underpinned the three statutory instruments that we made in July. We made regulations to amend the foreign state influence regime to allow 15% of shares or voting rights in a newspaper or news magazine to be held by a state-owned investor provided that they are investors with no right or ability to control, direct or influence the newspaper’s policies. The 15% threshold is below the level where the Competition and Markets Authority typically considers that material influence may arise.
The foreign state influence regime, rightly, has a low bar for intervention. The Secretary of State is given no discretion. She must intervene if she has reasonable grounds for suspecting that a foreign power may hold the ability to influence or control the policy of a UK newspaper enterprise as a result of a merger. This is regardless of whether there is an intention to influence. When we introduced the previous regulations earlier in the year, colleagues in your Lordships’ House and the other place challenged us on whether they had the unintended consequence of permitting multiple foreign powers, investing through state-owned investment vehicles, to each invest 15%. The argument was made that it would be possible for the majority of a newspaper enterprise to be owned by state-owned investors, albeit passively.
We were clear that this is a remote risk. However, we understood the concerns of your Lordships’ House. The Government committed to bring forward an additional statutory instrument to put the matter beyond doubt. That is why we are here today, following our consultation in the summer and the response published on 30 October. I take this opportunity to thank the noble Baroness, Lady Stowell of Beeston, for her invaluable engagement on this matter. I recognise the excellent role that your Lordships’ House so regularly plays in scrutinising and improving legislation.
Noble Lords may find it helpful for me to set out the detailed effect of these regulations. First, the regulations ensure that a 15% cap applies to the percentage of shares or voting rights that may be held in a newspaper by state-owned investors acting on behalf of foreign powers. This means that we are now putting it in statute that multiple state-owned investors, acting on behalf of different states, will not be able each to hold up to 15% in one newspaper. The 15% cap will apply to the combined total of direct and indirect holdings of shares or voting rights. We are introducing a specific and narrow exception for stakes of 5% or below in quoted companies. The exception affects the calculation of whether the 15% cap has been reached in cases where multiple state-owned investors from different countries or territories all have investments in the same newspaper. The exception catches only small shareholdings, and its purpose is to avoid a chilling effect on investment.
Secondly, we are using this opportunity to impose new transparency requirements on state-owned investors that invest in UK newspapers and news magazines. If a state-owned investor acquires a direct holding of more than 5% in a newspaper, they must notify the Secretary of State within 14 days of the relevant transaction being made. State-owned investors which are required to notify the Secretary of State must also publish these details within the same timeframe. This will enable the Secretary of State to report to Parliament on a regular basis—we intend for this to be every six months—on the published details of these acquisitions. This will benefit public and parliamentary confidence by increasing transparency around state-owned investment in newspapers.
If a state-owned investor which acquires a direct holding of more than 5% of shares or voting rights fails to comply with the notification and publication requirements, the transaction will be a foreign state newspaper merger situation, and the Secretary of State will be under a duty to issue a foreign state intervention notice and refer the case to the Competition and Markets Authority.
I want to reassure noble Lords about the nature of the 5% quoted company exception. It applies only to a limited type of investment by state-owned investors, as defined in the legislation. Additionally, the intention behind it is to avoid state-owned investors having to take account of holdings by state-owned investors from other countries, which newspaper groups are unable to track. Holdings in companies with publicly traded shares are disclosable only if they cross certain thresholds. These thresholds differ in different markets, but 5% is a common benchmark. If crossed, the investor must declare the interest to the company and the wider market.
The provision prevents the regulations having a chilling effect on investment. It removes the need for state-owned investors to establish whether state-owned investors from other countries have existing undisclosed or small investments in the same newspaper, which would affect whether their intended investment would or could exceed the 15% cap. Ultimately, these regulations address what the Government believe is a remote risk that multiple state-owned investors from different states could each invest 15% in a single newspaper. This cements the measures that can be taken against foreign state influence in UK newspapers and news magazines. These regulations also further improve transparency around investment, thereby helping to protect a thriving plural press essential to our democracy. I hope your Lordships’ House will support these important steps.
My Lords, as this is the Minister’s second statutory instrument debate today, I commend her stamina, and indeed I commend my noble friend on my own Front Bench for his, too. I welcome this statutory instrument, which meets the commitment that the Minister gave in July to close what was a gaping regulatory loophole that would have allowed multiple foreign states each to own up to 15% of a British newspaper, with all the risks that flow from that. I am also grateful to the Secondary Legislation Scrutiny Committee for its thorough examination and report on these No. 2 regulations. I am also pleased that the Government Chief Whip scheduled this debate on the Floor of the House and not in the Moses Room.
Of course, all of us could have been spared this additional work if the Government had done what I and others advised some months ago, once the so-called “multiples loophole” was spotted, and that was to withdraw, amend and lay a consolidated set of regulations, rather than us having to handle this piecemeal approach. I am not going to get sidetracked, but, as I have said before, the Government’s unwillingness to take the straightforward route raises questions about who or what has been prioritised when dealing with this matter. However, we are where we are, as they say, and I am pleased that these regulations now ensure that the 15% limit for investment from state-owned investment funds is a single aggregate cap.
Since it became apparent two years ago that our legal framework could not prevent foreign Governments owning, controlling or influencing British newspapers and news magazines, it has been clear that the future of our free press is not just about protecting editorial independence; it is also about ensuring financial sustainability. The pace of technological change and the economic challenges facing the news industry continue to worsen, making investment urgent and consolidation within the industry increasingly likely. So, while I respect those who maintain their position that, even as an aggregate at 15%, the cap has been set too high, my view, as I said in July, is that, restricted to passive investment only and with additional reporting safeguards, which I will come on to in a minute, an aggregate 15% cap for state-owned investors is acceptable and still supports the principle of press freedom.
That said, the Government’s decision to tackle this in a piecemeal way means that these regulations are not the easiest to follow, so I am grateful to the excellent senior DCMS officials for their patience in responding to my questions seeking clarification over the past few weeks, and I am also grateful for the Minister’s explanation of these regulations in her opening remarks. Other noble Lords may still have questions about how the cap works, with the carve-out for small holdings of 5% and below for listed media companies, but I am satisfied that what is proposed is a reasonable approach. Indeed, I am conscious that we must not make this regime even more complex and that doing so could deter legitimate investment or prevent our news industry accessing much-needed investment capital.
I do not want to detain your Lordships’ House, and the speeches already made by several noble Lords are very much to the point. I should declare an interest as a long-serving employee of the Daily Telegraph. In that capacity, I draw the attention of the Minister to what it is like for a newspaper not to know who is owning it for such a very long time.
It seems to me that the greatest power of bureaucracy is delay, which increases the power of bureaucracy with every moment; that is its appalling leverage on everything else. But business, and particularly journalism, has the opposite desire. It needs to get on, and the word “journalism”, of course, comes from the French word for day. It happens every day, and every day lost is a disaster for us. In certain respects, we have been losing day after day—we have lost roughly half the length of the Second World War not knowing who is really going to own us.
I make no distinction really here between Governments of either party because both, it seems to me, were guilty of a similar failure. I draw the Minister’s attention to the fact that there is a strong contrast between the quasi-judicial role that DCMS quite rightly operates, which is necessary in these cases, and all the manoeuvring and use of time and delay to try to satisfy—as the noble Lords, Lord Fox and Lord Young, have pointed out—the needs of a foreign state that the British Government seem to be overzealously courting.
This is a very bad piece of politics—not party politics—and it puts us all in play. If we were to write the history of this, we would have to see that it fell to the journalists of the Daily Telegraph twice to start making a noise before anything could prevent very bad things happening. That seems to be nothing to do with the quasi-judicial process. I hope that the very sharp deadline of 15 December is tacit acknowledgement by the Government of the damage done by delay and that therefore something more drastic is being done now.
In another place, the Justice Secretary, when trying to do something about jury trials, has made the point that justice delayed is justice denied. We at the Telegraph have had justice delayed for a very long time and therefore denied. The noble Baroness, Lady Stowell, and other noble Lords have been clear that it has to be acknowledged that a process of this sort should never go on again and that there is a big lesson here. If, for whatever reason, the Daily Mail bid fails or gets called into question, there has to be an open, swift and fair process.
My Lords, this has been an important and useful debate, and I am very grateful to all noble Lords who have contributed to it. I am particularly grateful to the noble Baroness, Lady Stowell of Beeston, for her engagement over many months with DCMS. I think we have a better position as a result of her engagement and persistence on this matter, and I know that the Secretary of State is also grateful for the time she has taken to help us refine this, frustrating as it must have been for the noble Baroness at times.
This regime is about safeguarding a specific industry that has a unique, essential role in the health of our democracy. The noble Lord, Lord Parkinson, made it really clear that this is important for democracy, and I think that is beyond doubt in your Lordships’ House. I need to put on the record that I do not recognise the scenario outlined by the noble Lords, Lord Fox and Lord Moore of Etchingham, of the genesis of these SIs, but I hope all noble Lords feel that we have listened to and addressed concerns raised in your Lordships’ House and have got to a better place as a result.
I will address the points made by noble Lords during the debate. The noble Lord, Lord Parkinson, raised concerns about the 5% exception’s potential for misuse. I stress that this is a narrow exception, applying in limited circumstances. It intends to remove any potential chilling effect by providing that a state-owned investor, or SOI, from one country or territory may ignore smaller holdings that are in effect too small to confer influence in their own right in quoted companies by SOIs from other countries that are not visible to them.
A hypothetical example of the limited circumstances in which the carve-out is in our view necessary to avoid a chilling effect is that if a state-owned investor wanted to invest 15% in a publicly listed newspaper owner they would have to be sure that no other state-owned investors from any other states or territories already held shares in the same newspaper owner. Without the carve-out, they could potentially not be sure that their 15% investment would comply with the limit.
(2 months, 1 week ago)
Lords ChamberMy Lords, my life would be truly boring without the chance to talk about football in your Lordships’ House, so I am very pleased to have the opportunity to provide clarity on the draft statutory guidance on the meaning of “significant influence or control” in the context of the Football Governance Act 2025, guidance that was laid before both Houses of Parliament on 27 October 2025. I thank the Secondary Legislation Scrutiny Committee for the scrutiny provided on this draft statutory guidance. The committee did not draw the guidance to the special attention of the House and no objections were raised in the other place.
It is always a pleasure to debate issues relating to football regulation with the noble Lord, Lord Moynihan. However, I cannot help but share my surprise and regret that he felt the need to do this by tabling a fatal Motion against the guidance. I agree with my noble friend Lord Hunt that this feels like a disproportionate approach. I am also tempted to agree with my noble friend Lord Watson of Invergowrie that the noble Lord, Lord Moynihan, is attempting to rerun the debates we held over the past year. I regret this not least because I sent the draft guidance to the noble Lord myself and offered to meet to discuss the guidance in a letter sent to him, and a number of other Peers with a known interest, over a month ago, an opportunity I also offered to the noble Lord, Lord Parkinson. Notwithstanding this, the noble Lord, Lord Moynihan, raised no concerns directly to me or my team before this evening’s debate—not when he received my letter, nor even when the Secondary Legislation Scrutiny Committee reported on this guidance on 13 November. I am a little confused about the noble Lord’s quoting of the Minister for Sport, as beyond her Written Ministerial Statement, this has not been discussed or had concerns raised about it in the other place. I am grateful, however, for the opportunity to stress how vital this legislation is in delivering for fans.
The implementation of this regime, which prioritises the protection of clubs from unsuitable owners and financial distress, and the interests of fans nationally, is a priority for this Government. That is why, during our lengthy discussions on and scrutiny of the primary legislation, the Government committed to producing this guidance before clubs are required to identify their owners in the personnel statement. I do not agree with the noble Lord, Lord Parkinson, that this guidance does not add clarity. The Government are pleased to have delivered on this commitment and to provide clarity regarding the concept of “significant influence or control”. I am sorry that the noble Lord, Lord Moynihan, did not find it clear. I read it twice and I thought it was clear. If I understand it, as somebody who is not a regulator, I believe that it is relatively clear.
This guidance plays a key role in the regulator’s regime, with this unexpected Motion disrupting progress and preventing David Kogan and his team from getting on with their important job. As my noble friend Lady Debbonaire made clear, the regulator now has an excellent, experienced and well-respected chair in post. He has wasted no time in meeting clubs and stakeholders from across football, including the top five English leagues, consulting industry on new rules and building up an executive team of regulatory experts. I hope that noble Lords across the House agree that the regulator needs to be able to make progress on these priorities without delay. As the noble Lord, Lord Addington, said, we need to let him get on with his job.
As someone who has a terrier, I might not agree with the phrasing of the noble and right reverend Lord, Lord Sentamu, but I agree with the sentiment of his interventions. We just need to look at the plight of Sheffield Wednesday to understand the urgency of giving the regulator the tools to get to work. With regard to concerns raised by noble Lords today, it is important to note that this guidance was drafted collaboratively. I make it absolutely clear that officials have worked with both industry and non-industry experts to ensure that it is clear, useful and user-friendly.
The noble Lord, Lord Parkinson, asked about consultation. I give him an assurance that this has been extensive. Officials have spoken to UEFA, to all the competition organisers, to a wide range of clubs throughout the different leagues and to DBT officials about their comparable Companies Act guidance. In developing the draft, we have drawn on the approach used in the Companies Act “persons with significant control” regime to ensure that we are aligned with current precedent. Building on the Companies Act guidance, it introduces industry-specific examples that have been tested with the football industry, makes these concepts more tangible for those who will have to interpret the guidance, especially clubs, and ensures that this guidance is suited to the regulated industry.
In relation to the point on consultation from the noble Lord, Lord Parkinson, I say that, crucially, the guidance has also been tested with the regulator itself to ensure that the concepts are clear and that the non-exhaustive examples are helpful. David Kogan and his team have confirmed that this guidance provides them with the product they need to undertake their important work.
My Lords, I am grateful to the Minister for answering the questions that were posed. I apologise if I missed this, but does she accept that, under paragraph 2.11, it might be possible for a sponsor of a club to be considered as part of the new owners and directors test, if the sponsor’s recommendations are usually followed by the club? That is the test that paragraph 2.11 shows.
I will have to defer to the Box on that point, but I will be happy to pick that up with the noble Lord afterwards.
I thank the Minister for her response. I will pick up on some of the points she has made and try to answer the other interventions that came from the packed Benches on the Government side, which I am delighted to see for this debate. I have rarely been called a trout-fishing terrier. I love trout fishing and I also love terriers, so I take those both as compliments. I say to the noble Baroness, Lady Debbonaire, that I am passionately committed to football, both amateur and professional; I always have been in 40 years involved in sport. There is no one who would regard my intervention on this subject as coming from any other position than being passionate about sport and football.
The Act is detrimental to the future of professional football; it is a view I spoke about a great deal in Committee. This evening, I did not address any of those points but focused exclusively on the guidance. I say to the Minister and to others that the debate this evening does not stop the regulator for one day. The statutory guidance is laid before both Houses until 5 December, and there is the opportunity to debate it in either House until that point. It is not a delaying tactic; it does not delay the regulator getting on with its job. To say that and to imply that is fundamentally wrong. We cannot do anything about this until 5 December, when both Houses will have had the opportunity to consider it. We have had the opportunity in advance of that to have a debate.
I say to the noble Lords, Lord Hunt and Lord Watson, who are passionate about sport and highly knowledgeable about football—they may not take this as the greatest compliment coming from me, although it is meant to be a compliment at the highest level—that I tabled this Motion because, if we have secondary legislation, we have the opportunity to review it in the normal way, but if we have draft statutory guidance the only way we can debate it is by tabling a fatal Motion. I have no intention of pressing it to a vote, but I absolutely intended to make sure that what we looked at during the passage of the Bill—the decision to bring forward statutory guidance on this so that the whole of Parliament could consider it—was given due consideration.
Having read the guidance, I made it clear to the House this evening that I was concerned it went too closely along the lines—which the noble Lord, Lord Pannick, said was inevitable and important in the drafting—of being kept purposefully and precisely vague, to use his phrase. I was a little nervous that, in responding, the Minister might do exactly what the noble Lord encouraged her not to do and provide clarity and precision. Understandably, she could not, because it is vague, and intentionally so.
I say to the Minister that this could be far better written. I genuinely believe that it is important to take it away and write it with greater clarity, because the guidance needs to strike a balance between, on the one hand, the need for the regulator to look into significant interest or control and, on the other, having to think about investors and the best interests of every club. It is my firm belief that, if you go too closely down the road of being so precisely vague and wide ranging, it could deter investors in professional football. That is why I felt it important to have this debate.
This Motion does not delay the regulator at all and gives this House the opportunity to consider something it requested in Committee on the Bill and which the Government granted. This debate has been very well attended. I am exceptionally grateful to those who have contributed. I avoided completely going down the line that the noble Baroness, Lady Debbonaire, thought I might by focusing exclusively on and going into detail on this guidance. Having placed this on the record, I hope that the regulator and the world of football will be able to go away and consider whether there are ways to improve the statutory guidance and that, when we sit down with the football clubs, we avoid overlapping with the regulatory frameworks of UEFA, the EFL and the Premier League, which is also vital and to be avoided here.
I am grateful to the Minister for sitting through another debate on football and for the very helpful contributions from, in particular, the noble Lords, Lord Hunt and Lord Watson, and the noble and right reverend Lord, Lord Sentamu. The noble Lord, Lord Addington, feared that we will see this in case law; I fear that he is absolutely right.
It may help the noble Baroness, Lady Debbonaire, if I repeat one point. I was absolutely opposed to this legislation all the way through and thought that it would be bad law. I believe it is bad law. I thought Boris Johnson’s knee-jerk reaction to go to legislation on the Monday after the Saturday announcement of the super league was wrong. That is not the right way for professional sport in this country. But I did not go down that road this evening. I focused on this because I want to make it as good as possible and passionately want this Act to succeed now that it is in statute, in the interests of football and investors as well as of regulation. I wish the regulator every success with this. I hope it gets it right and has the opportunity to reflect on what has been said on both sides of this House. I beg leave to withdraw my Motion.
(2 months, 2 weeks ago)
Lords ChamberTo ask His Majesty’s Government what steps they are taking to ensure charities cannot use ‘the advancement of religion’ charitable purpose to advance ideologies which promote misogyny, sexism or violence against women.
Anyone who advocates for violence against women has absolutely no place in a charity. The Charity Commission, as the independent regulator, will not hesitate to act where charities promote harmful or unlawful actions. The Government will consult in due course on new powers for the Charity Commission to automatically ban individuals convicted of hate crimes from serving as charity trustees or senior managers. We will also make it easier for the commission to take regulatory action against people promoting violence, terrorism or hatred.
My Lords, I am grateful for that Answer. All charities have certain responsibilities to fulfil to qualify as charities and receive the generous tax allowances and kudos of the status of being a charity. However, some charities register under the charitable purpose of advancement of religion to promote misogynistic ideology in the name of religion, which threatens the rights and well-being of some of the most vulnerable members of their flock. In recent research, the National Secular Society found examples of charity sermons saying that a woman must serve her husband by cooking and cleaning, blaming rape on how women dress and saying that it is okay to hit your wife if she refuses to have sex. No charity worth its salt should ever promote misogyny or any other ideology that harms people and society. Should we not therefore review the role of the charitable purpose of the advancement of religion, with a view to its removal if it is a barrier to tackling misogyny or other forms of extremism?
The Charity Commission is currently reviewing the National Secular Society’s recent report to determine whether it raises any new regulatory concerns. I read the report over the weekend, and some of the examples provided are shocking. However, I am pleased to say that the commission has already investigated a number of the charities cited. I have also spoken to the Minister for Civil Society and Youth, and I reassure the noble Baroness that she is looking at ways to strengthen the Charity Commission’s powers to tackle abuse of charities by extremists, whatever type of extremist they are .
My Lords, the founders of different religions put forward straightforward ethical teachings of responsibility in our short journey through the world. Unfortunately, those ethical teachings have been overlaid by cultures, with culture even creeping into religious texts. Does the Minister agree that it is time to do a little spring cleaning of what we call religion and discard all the negative teachings about other people and about women, and to bring those ethical teachings to the fore? Sikhism stresses the complete equality of women. Does the Minister agree that that should be carried forward and be obligatory in the 21st century?
It would be a brave Minister who decided which religious teaching we should prioritise above another. I will say that we have a proud tradition of religious freedom in this country, but those rights extend to everyone, and we condemn acts of violence against women and girls. Noble Lords will have heard from my noble friend’s answers on the previous Question that we are clear that we want the Charity Commission to have the power it needs, and we will consult in due course on new powers that will enable it to deal with this issue.
My Lords, having spent the whole of my professional life combating those who, in the name of religion, promote misogyny, sexism or violence against women, I hope the questioner will agree that the highest values, both of religion and of humanism, are conjoined in the effort to suppress, marginalise and deal with all these aberrations. Does the Minister agree?
All charities should be safe spaces for everyone: employees, volunteers and members of the public. I agree that, at their best, our values, across all religions and those who have no religion, would uphold the freedom of individuals as well as our collective responsibility to one another.
My Lords, do the Government consider the advancement of education to be a valid charitable purpose? If so, why are charities delivering this treated differently from the rest of the sector?
As I think the noble Baroness is aware, the Government have removed the VAT exemption for education and boarding services provided by private schools and removed the eligibility of private schools that are charities for business rates and charitable relief. The Government are taking these steps to raise revenue to support the public finances and help deliver their commitments relating to education and young people, including the 94% of school children in the UK that attend state schools.
My Lords, just two weeks ago, Sheffield City Council launched its faith and belief charter—a sort of service-level agreement between local faith communities and the local authority setting out what each might expect of the other for the wider benefit of our city. The charter assumes a shared commitment to the essential dignity of every human being, as created in the image and likeness of God. Will the Minister encourage the use of such covenants and charters between faith communities and local authorities, not least on account of their capacity to challenge precisely the behaviours identified in the Question put by the noble Baroness?
The right reverend Prelate raises a really good and positive example of how communities can come together in a particular area. I would welcome the opportunity to hear more about it from him.
My Lords, the charities about which my noble friend is talking often get a great deal of funding from the United States, from extreme, allegedly Christian evangelical foundations. Do the Government intend to use the extended powers they are giving to the Charity Commission to insist on greater transparency about funding of charities? Will that require new legislation, or can it be done through the Charity Commission?
My understanding is that a number of the measures being considered would not require primary legislation, but others might at some point in the future. I am happy to write to the noble Lord relating to the specific point that he raises.
My Lords, the vast majority of charities work for the benefit of everybody, whatever their religion or their sex, so why did the Chancellor not take the opportunity earlier today to reverse the punitive rise in employer national insurance contributions that she imposed on charities in her last Budget, which many charities have warned will lead to hiring freezes or job losses?
The noble Lord will be aware that we doubled the employment allowance to £10,500 at the previous Budget so that more than half of businesses, including charities, with NICs liabilities would either gain or see no change. Employers will also continue to benefit from NICs reliefs, including for hiring those under 21 and apprentices under 25 where eligible. We provided charitable tax reliefs and exemptions worth £6 billion in the year 2023-24. The biggest individual reliefs provided are gift aid, at £1.6 billion, and business rates relief, at nearly £2.4 billion. With the civil society covenant being a key priority for this Government, we are supporting charities to deliver for the country.
My Lords, I declare, as ever, that I am a teacher. It is the wrong department, I know, but does the Minister agree that a lot of this can be combated in schools but that we need the time to teach it. One day a term—when parents who hold some of these abhorrent views can take their child out for the day—is not enough.
I will feed the noble Lord’s point back to my noble friend Lady Smith of Malvern and will be happy to meet the noble Lord to discuss it further.
(2 months, 2 weeks ago)
Lords ChamberThat the draft Regulations laid before the House on 13 October be approved.
Relevant document: 39th Report from the Secondary Legislation Committee. Considered in Grand Committee on 18 and 19 November.