Road and Rail Infrastructure (North Wales)

Guto Bebb Excerpts

Wednesday 21st October 2015 Commons Chamber

[Dr James Davies (Vale of Clwyd) (Con)]

I am grateful for the opportunity to raise an issue that I believe is critical to the future economic development of north Wales and the wider region.

Better road and rail infrastructure can offer better access to training and employment opportunities further afield and better access to markets for businesses. It has the ability to attract development to the area and improve the success of companies located in the vicinity. In addition to general increased economic productivity and competitiveness, there are specific advantages that it might bring to the region: more tourism; better access for the public to local and regional services; reduced congestion and therefore safer roads and quicker response times for emergency vehicles; improved recruitment where there are current job shortages; better access to international gateways; increased access to future planned nuclear and green energy developments in the region which could help the area to gain national or even international recognition and expertise in these fields; and social benefits and a better quality of life.

The key railway line in north Wales is the Crewe to Holyhead branch of the west coast main line. We still have Victorian signalling systems, the line caters only for diesel trains, and there are speed restrictions. Parts of the line are the slowest in the UK. It offers relatively limited direct services to airports and major cities. One can travel from my constituency to London in two and a half hours, and I am aware of businesses that are located in the constituency partly because of the existing services. Rail is managed by Network Rail and as such is not devolved.

On road infrastructure, the A55 or north Wales expressway, which is less well known as the Euroroute E22, is our main trunk road. This runs east to west from the M53 at Chester through to Holyhead. Much of the A55 is on what is thought to have been the route of a Roman road, but the road we know today was developed from the 1930s onwards, the majority of it during the 1980s. The Bodelwyddan bypass completed its course across my constituency in 1986. From my constituency there is a half-hour journey along the A55 to the motorway network, and roughly a one-hour journey to the airports of Liverpool and Manchester, but congestion and accidents on the road have increased, as the Daily Post, the region’s newspaper, highlighted on Monday.

[Guto Bebb (Aberconwy) (Con)]

I congratulate my hon. Friend on securing this important debate. He mentioned the A55, which is part of a Euroroute. Is he aware that the only two roundabouts on any Euroroute are to be found in my constituency? Only the other day I received an email from a constituent who had taken an hour to get from Llandudno to Llanfairfechan, a journey of only 14 miles. It is not so much an expressway as a barrier to growth in my constituency and the rest of north-west Wales.

[Dr Davies]

My hon. Friend makes a good point.

There are also poor links from the A55 to the north of my constituency, parts of which have some unemployment hotspots. The existing infrastructure supports numerous businesses, including those at St Asaph business park, but they are often under pressure to move east, closer to the UK’s motorway network. Road infrastructure is devolved in Wales, so joint working is critical when seeking to enhance key east-west routes.

There is a fundamental interdependence between north Wales and the north-west of England. In fact, the economies are inextricably linked, and I suggest that the north Wales economy complements that of the north-west, rather than competing against it. There are 50,000 cross-border commutes every day, which equates to around l million per month. One million people of working age live on either side of the border, and 8 million live across the wider area. To illustrate the size of this combined economy, there is a £31 billion economy along the M56 and A55 corridor, expanding to £77 billion if we include Liverpool, Cheshire and Warrington, and £140 billion with the Manchester city region. In fact, the overall region contributes 17% of UK manufacturing output and provides 30% of jobs locally.

North Wales clearly has a key opportunity to be part of the northern powerhouse and to link to HS2. Doing so would be an important way to address deprivation and unemployment in my part of the world. Parts of north Wales have an untapped workforce availability, and therefore an associated cost to the taxpayer of out-of-work benefits. I believe that better transport links would help the strategic and united growth of the north Wales and north-west region, despite political barriers that have developed post-devolution, and help regenerate the whole area. I reiterate that the transport routes in north Wales also form key trans-European links to Ireland, which is an important factor for economic growth.

--- Later in debate ---

[The Parliamentary Under-Secretary of State for Wales (Alun Cairns)]

I am grateful to my hon. Friend the Member for Vale of Clwyd (Dr Davies) for securing the debate. I pay tribute to him not only for the way in which he presented his case, but for wasting absolutely no time in lobbying the Department for Transport and the Wales Office on arriving in this place. Within two days of arriving, he wanted a meeting with the Under-Secretary of State for Transport, my hon. Friend the Member for Devizes (Claire Perry), and me to make his case. I pay tribute to him for the effort that he has put into that case in the short time that he has been in the House.

I welcome the opportunity to discuss how 21st-century transport infrastructure can help north Wales to achieve its potential and place the region at the heart of the northern powerhouse. I also pay tribute to my hon. Friends the Members for Aberconwy (Guto Bebb) and for Cardiff North (Craig Williams) and my right hon. Friend the Member for Clwyd West (Mr Jones) for their interventions. I will try to reflect on their points a little later if time allows.

Since 2010, we have delivered the largest rail investment strategy this country has seen since Victorian times. Both north and south Wales are benefiting significantly from the strategy. Understandably, much attention has focused on our commitments in south Wales, such as the electrification of the great western main line, while the additional funding made available to the Welsh Government for the valley and the Vale of Glamorgan lines has been debated at large. However, north Wales rail infrastructure has also seen its share of investment during the past five years, with the upgrading of the signalling, which my hon. Friend the Member for Vale of Clwyd mentioned, the improvement of the Halton curve—I pay tribute to my right hon. Friend the Member for Clwyd West who worked directly on securing that investment—and the plans and studies currently being undertaken by the Welsh Government for the Wrexham to Bidston line. I will return to some of those subjects a bit later.

North Wales is one of the most dynamic parts of the UK. Its economy has grown by 13.2% since 2010. It is right to highlight that Wales is the fastest growing part of the United Kingdom, but it is also worth underlining that north Wales is growing much faster than the average for Wales. There are currently few better places to invest than north Wales. The north-east Wales integrated transport taskforce has estimated that the north Wales economy is worth approximately £10.4 billion a year, and it is growing. The latest figures show that the north Wales’s economy grew by 3.1%, against an average of 2.5% for the UK.

I am proud of this Government’s record in helping to support the economy right across Wales, and north Wales is no exception, but we need to build on that momentum, which is why the Government have put in place our productivity plan “Fixing the foundations”. In that context, we are determined to ensure that the need for transport infrastructure in north Wales is recognised and that such infrastructure is fit for such a growing economy. There is a need for collaborative investment in developing infrastructure capable of sustaining the long-term economic growth that we are now seeing.

North Wales has for some time been calling for better transport links. I have already paid tribute to some of my hon. Friends who have contributed, but I want to underline the support given by my hon. Friend the Member for Aberconwy to my hon. Friend the Member for Vale of Clwyd in working with the Wales Office to seek a plan for making an effective bid for control period 6. My hon. Friend mentioned that point and I will return to it later. Such lobbying has been heard loud and clear, as it was when I met businesses in Aberconwy and elsewhere in north Wales in August. When I spoke at the CBI north Wales dinner last month, businesses underlined the need for such investment.

Having first-class, modern transport infrastructure will not only support business growth; it will open opportunity, encourage new investment and help people to access the job opportunities, apprenticeships and training that can transform the lives of families and the fortunes of communities. We are already working to deliver that across north Wales.

We have taken steps to improve cross-border links between north Wales and northern parts of the UK. Last year, £10 million was committed to the Halton curve. I have mentioned the role of my right hon. Friend the Member for Clwyd West in that. That project is reinstating a direct rail link between north Wales and Liverpool. That has been welcomed widely by businesses and the passenger community alike. It is part of our plan to deliver a stronger, more prosperous northern powerhouse, in which north Wales is a key part.

This opportunity must be seized. I want to see joint working between north Wales, the Welsh Government, local enterprise partnerships and local authorities on both sides of the border. The Mersey Dee Alliance also has a role to play, as do the train operators. We need to use the investment in the Halton curve to deliver the optimal service pattern to transform the opportunities that I have mentioned.

We are committed to line speed improvements through the north Wales re-signalling programme. That is a significant scheme that should not be underestimated. It is expected to deliver journey time savings of up to eight minutes. That improvement will lay the foundations for further modernisation and electrification of the north Wales main line.

Likewise, the Wrexham to Bidston line is a key line for supporting enterprise and employment on Deeside. I am pleased that the Welsh Government are considering the economic benefits of investing in the line and a number of other options in north Wales. I look forward to working with them and the Department for Transport on bringing about satisfactory and positive outcomes.

It is worth recognising that HS2 will bring significant benefits to north Wales. It will reduce journey times to Crewe and create opportunities for other links because of the extra capacity that it will provide. HS2 is vital in providing extra capacity on the national rail network, which is straining under the weight of the huge growth in passenger numbers over the past 10 years.

Clearly, modernisation of the north Wales main line would be a significant boost to the region’s transport links and maximise the benefits to be gained from the planned high-speed line between London and Crewe. We must ensure that everyone is aware of the opportunities that that creates for north Wales and the importance of the cross-border infrastructure that links in to other activity on the rail network.

It is vital that we prepare the most robust business case possible that identifies the strongest possible cost-benefit ratio of upgrading the line. I will return to the cost-benefit ratio. We have to think in terms of outcomes and identify the key building blocks that will pave the way to electrification. Now is the time to influence control period 6, to which my hon. Friend the Member for Vale of Clwyd referred. This is a window of opportunity to identify the means by which tangible benefits to the network will be brought about to improve the passenger experience.

We must find answers to questions such as how we can provide more frequent services, how we can cut journey times across the network, and how we can improve the signalling and modernise the line. I am keen that we learn from other bids to the Department for Transport and the Treasury that have been successful. One such example, “Norwich in 90”, focused on the outcome of cutting journey times between London and Norwich, rather than on any particular technology. The bidders identified what they wanted to achieve, then found the best way of achieving it. We must focus our attention on the cost-benefit ratio, which is currently low compared with other projects. That is an objective, mathematical formula, and we need to strengthen the case around it.

The north of England electrification taskforce’s report “Northern Sparks” was an interesting addition to the debate because it examined for the first time the economic benefits of modernising rail infrastructure. The Welsh Government and north Wales authorities were involved throughout the preparation of the report, alongside interested parties from across the north and across political divides. That collaborative approach ensured a clear understanding about the interaction of services from north England and into Wales. We need an effective collaboration on modernising rail infrastructure in north Wales.

Politicians from Westminster and Cardiff Bay should continue to work together with business leaders and councils to make the case for transport infrastructure investment. We need a clear set of priorities, a clear plan of action, and clear funding commitments that focus on that cost-benefit ratio while also highlighting the economic opportunities that will be released.

[Guto Bebb]

Does the Minister agree that the upgrading of the north Wales main line is crucial to the development of the proposed nuclear power station in Anglesey? We need to move skilled workers from all parts of north Wales to the opportunities that will exist at that development.

[Alun Cairns]

My hon. Friend makes an important point and highlights the private sector’s role in strengthening the case—particularly the economic case—for such upgrades. That is an excellent example.

Together with my hon. Friend the Member for Vale of Clwyd, I am grateful to the North Wales Economic Ambition Board for organising the summit next month—yet another example of the board’s commitment to promoting a collaborative, cross-party approach to achieving economic success in north Wales. I pay tribute to the tireless work of Councillor Dilwyn Roberts on behalf of the people of north Wales. I am also grateful to Edwina Hart, a Minister in the Welsh Government, for the approach that she has taken, which is another example of what can be achieved on a joint basis. The North Wales Economic Ambition Board will be key in making that case, along with other organisations such as the Mersey Dee Alliance, and the summit next month will help us to identify what case to make to the Department for Transport and the Treasury.

The northern powerhouse is a key priority for this Government. The Chancellor has said how important north Wales is to that dynamic, and a key rail and road infrastructure plan is vital to that northern powerhouse and to north Wales.

Question put and agreed to.

Media Plurality (Wales)

Guto Bebb Excerpts

Tuesday 13th October 2015 Westminster Hall

[Guto Bebb (Aberconwy) (Con)]

I beg to move,

That this House has considered media plurality in Wales.

It is a pleasure to serve under your chairmanship this afternoon, Mr Chope. I am pleased to be able to bring this issue to the attention of the House. The issue of media plurality in Wales is one of growing concern for many in a Welsh context, mainly because we have undoubtedly reached a position where Wales is more clearly defined as an administrative and political entity than possibly at any time in its history, and yet there is a question as to whether its administrative and political distinctiveness is recognised in public discourse in the Welsh media.

The purpose of the debate is to highlight concerns about issues relating to the media in Wales and the way in which we are served by the media in Wales. I also want to ask the Minister a few questions. I am sure he will be able to respond to my points either in full today or in due course. To give the Minister an opportunity to have a think while I speak, I will list the main areas that I wish to talk about in this debate. First, as I have said, we need to recognise the changed political and administrative situation in Wales. We are undoubtedly part of the United Kingdom with a distinct Government and administrative system, and that needs to be recognised. Indeed, the Welsh political system is increasingly being taken seriously. For example, the decision of the hon. Member for Ogmore (Huw Irranca-Davies) to put his name forward for election to the Welsh Assembly shows that the way in which the political situation in Wales is developing affects decisions made by hon. Members in Westminster, so we need to recognise that political entity and its existence.

However, we need to ask ourselves whether our media portray that entity fully, and whether the consumption of media in Wales reflects the changed political situation that we face in Wales. Do we have sufficient discussion within the media, whether in the printed media, online, in newspapers or on television and radio? Do we have a consumption in Wales that allows for a discussion of our political discourse that contributes fully to the way in which our democracy works? There is a question as to whether we have such media in place.

Then we need to ask ourselves whether there are shortcomings in the printed media in the Welsh context. We are increasingly dependent on two daily Welsh titles that see a regular fall in sales. The question we then have to ask is whether Wales and Welsh politics are taken seriously by the UK media. We can make a contrast between the situations in Scotland and Wales, for example, so I will touch on those issues as well.

The print media in Wales are declining. I will talk about the figures, but when we see the reduction in the Western Mail and Daily Post sales figures, it is impossible to deny that. What does that decline tell us about what is expected of the Welsh media by the Welsh people? Is there a lack of interest or is it a response to what is perceived to be a declining product, with some exceptions, I am sure? If the print media situation is as bad as I am making out—I will provide statistics that imply that the situation is pretty dire—we have to ask ourselves whether that results in a dependency on the broadcast media that is far beyond what we see in many other parts of the United Kingdom. Again, I will provide statistics that show how the dependence of the Welsh public on broadcast media—television and radio—is much clearer in Wales than in the rest of the United Kingdom.

For example, more people get their news in a Welsh context from the television than in any other part of the United Kingdom. Is that a good or a bad thing? Does that lead to a dependence—an overdependence, perhaps—on the BBC? That is not an attack on the BBC, but do we want to end up in a situation in which most news is provided in Wales by one broadcaster? Granted, some of the BBC output goes out on S4C as well, but we are talking about one broadcaster, the BBC, being responsible for the two main radio stations in Wales, for the BBC news output in English and the S4C news output in Welsh. Is that a healthy situation? Is it the best use of licence payer and taxpayer funding if we end up in a situation where the BBC has almost a monopoly?

[Susan Elan Jones (Clwyd South) (Lab)]

There is a problem in north-east Wales where the BBC output in certain parts comes either from the north-west or the midlands. The hon. Gentleman talked about overdependence on the BBC, but it could be said to be overdependence on the wrong type of BBC.

[Guto Bebb]

I am fascinated by the concept of the wrong type of BBC, but I understand what the hon. Lady says. Even in my constituency, which is significantly further west than the hon. Lady’s, we have the phenomenon of people turning their aerials towards the north-west because, apart from wind farms, there is nothing to stop signals from the north-west hitting the north Wales coast. It is a fact that people in north-west Wales pick up media from the north-west of England.

The Minister will not be surprised to hear the final point that I will touch on: the situation in relation to S4C and how it can fit into the whole media situation in Wales.

Is the political discourse a problem? I think it clearly is. Any politician knows that it is a problem, because when we knock on doors—I am sure I am not giving away any secrets—we often feel frustrated at people’s lack of understanding about the way in which they are governed. I find it very frustrating, having had a full two years of showing how clearly the Welsh NHS is failing. Some hon. Members will disagree on that point, but it is frustrating to fight a general election with people telling me on the doorstep that they are not voting for me because I am a member of the Government, and the Government are closing maternity units in north Wales. That is the type of frustration that politicians are aware of.

The question is: how can people make the right decision? How can we have an accountable Welsh Assembly if people do not even know what the Assembly is responsible for and they are not even following the discussions that lead to decisions? For example, decisions on the maternity unit in Glan Clwyd are made in Cardiff through the health board, but that accountability is missing in a Welsh context. Frankly, after 18 years of the Welsh Assembly, such lack of accountability is something that should concern all of us. If all political parties believe the Welsh Assembly is central to the way in which Wales is governed and that we should have devolution to greater or lesser extent—there are disagreements as to exactly how much—and if there is a feeling that we should have a devolved Administration who are responsible for crucial decisions in a Welsh context, we have to ask ourselves whether there is a lack of a coherent discussion of the issues relating to people in Wales in the printed media and the media in general. Clearly we have a problem, and I would argue that it is pretty much undisputed that there is a democratic deficit in the way in which public issues and affairs are discussed in a Welsh context. That issue should concern all of us on a cross-party basis. The responses might differ from party to party, but the concern should be genuine and heartfelt among all Members of this House and all people involved in politics in a Welsh context.

The problem arises to a large extent because more than 90% of the printed media read in Wales comes from London. I have nothing against London. I happily live here three to four days a week, and I would be lost without my daily morning paper and certainly my Sunday papers. I know I am in a minority in still enjoying a morning paper. Indeed, my daughter is now doing the same paper round that I used to do 30 years ago. That shows we believe in equality in our household, because she has taken over the paper round from my son. When I did the paper round, I delivered to more than 50 houses, but that has gone down to less than 20. Clearly, there is a decline that is not related to Wales alone. The key point, though, is that as 90% of the printed media sold in Wales come from London, there are clearly questions to be asked. First, why are the Welsh media declining so quickly? Secondly, why do London media not do in Wales what they do in Scotland?

We should ask serious questions about the contrast between Wales and Scotland. There are three daily national newspapers in Scotland, all of which sell more than the two papers we have in Wales. On top of that, Scotland has two regional papers with significant distribution and sales. Furthermore, no fewer than seven UK titles produce Scottish editions. It is difficult to argue that there is not a more lively debate about politics in Scotland than in Wales. I am not saying that that is all down to the failure of the media—politicians must take responsibility as well—but it is difficult to have an engaged discussion when so much of the content people read daily does not address Welsh issues.

Even if some parties present were unhappy with the Daily Mail’s campaign on the Welsh NHS last year, there was something quite refreshing about the fact that day after day for several weeks a London-based newspaper concentrated on the so-called failures of the Welsh Government. I should be clear that I am not trying to make a political point, but in my view there is no doubt that that campaign resulted in public discourse about the Welsh context, because suddenly the London papers were taking an interest in Wales. That type of discussion of Welsh matters should not be confined to one-off issues with, perhaps, a slightly partisan political agenda in the background. I happen to think that the Daily Mail was highlighting important issues of concern to us all, but I respect the fact that some people in the Cardiff Administration would respectfully disagree. I think we would all agree that if there is a perceived failing of the Welsh Government, that should be highlighted in the media read by the people of Wales. If not, we have a problem.

[Mr Mark Williams (Ceredigion) (LD)]

I congratulate the hon. Gentleman on securing this important debate. What role does he see for a vibrant and powerful local press? In my constituency, the Tivy-Side Advertiser and the Cambrian News have led some very spirited and robust defences of our local health service, yet I think he would agree that, sadly, the local press is also in retreat.

[Guto Bebb]

Indeed, I was going to touch on that. It is significant that Wales has a track record of a strong regional press, although it could be argued that it has been subject to far too much centralisation of ownership. There is a vibrant local press in Wales, but I checked the figures with the Library this morning, and, as far as I am aware, not a single one of our newspapers is showing an increase in sales. Some declining sales are truly worrying. In my constituency, the North Wales Weekly News has given up on its valley edition. It still produces two editions for the coast, but sales are falling.

The Caernarfon & Denbigh Herald was immortalised in a pop song by a group called Y Cynghorwyr, who argued that it says it in the Caernarfon & Denbigh so it must be true: “Mae o’n dweud yn y Caernarfon & Denbigh, y papur sy’n dweud y gwir”. For a newspaper to be immortalised in a pop song but suddenly find its sales falling below 9,000 must be a concern for the regional press. Yes, there is a regional press that can take up the slack, and there is no doubt that, for example, the regional press in north Wales has been at the forefront of the issue when it comes to concerns about the A55 or the health service, but is it in a position to respond positively as sales fall dramatically? I suspect not.

The Institute of Welsh Affairs recently did some media monitoring and found that between 1999 and 2013 the number of journalists working in the local and national press in Wales—I will call the Daily Post and the Western Mail a national press—went from 700 to around 110 or 115. That fall is significant. In my constituency I have first-class journalists who work for both the Weekly News and the Daily Post. They might cover an issue in Llandudno in the morning and then be in another constituency covering a different issue for the Daily Post in the afternoon. They are multi-tasking in order to keep the show on the road. I am not sure whether, in the long term, that will result in the vibrant culture we need for discussion of what is going on in Wales.

There is no denying that the decline has resulted in cuts that, it could be argued, reduce the appeal of the regional press. On Sunday, I was delighted to see the Daily Post print a Sunday edition for the first time in its history. It says a lot about this debate, as the purpose of that edition, on which I warmly congratulate the Daily Post, was to celebrate Welsh sporting success after the Welsh rugby and football teams qualified. I must add that both teams qualified after losing, but that did not stop the Daily Post making a big issue of the success of our Welsh sporting heroes—good for them for doing so. I would be delighted to see the Daily Post appearing again Sunday in future. Nevertheless, that masks the real situation, because there is a decline in the regional press and in our two main daily titles in Wales, resulting in the dominance of public discourse in Wales by the broadcast media, which probably means the BBC in the form of BBC 1 and S4C news content, and Radio Cymru on Radio Wales.

Before I turn to the dominance of the BBC, it is worth mentioning people’s expectations and hopes for online media as an alternative. There is no doubt that the Daily Post and the Western Mail have dramatically increased their online content. The BBC provides a sterling service in trying to cover Wales online in both languages, but I have concerns, as well as hope. For all its faults, the Welsh Assembly has at least recognised the importance of some degree of alternative plurality in Welsh news gathering. Golwg360 is a second online news provider that has been made possible through Welsh Government funding, and I welcome it as a response to the need for diversity in online news. As a Welsh speaker, I welcome the fact that I am able to turn to the BBC and to Golwg360 and find that the content is not always the same—it is often significantly different—but if we acknowledge that there has been a market failure in the provision of plural voices in Welsh online, we should also recognise that there is an issue with online provision in English.

[Hywel Williams (Arfon) (PC)]

Does the hon. Gentleman share my concern about the quality of online content? I am heartily sick of reading 20 things I wanted to know—or did not want to know—about some celebrity, some aspect of our geography or whatever.

[Guto Bebb]

I tend to agree. There is always a question of quality, although when MPs are asked to provide 20 facts about themselves they seem quite happy to do so.

[Craig Williams (Cardiff North) (Con)]

I congratulate my hon. Friend on securing this debate and approaching it in his usual style. We have debated intervention in this declining market at length. First, does he welcome the Department for Culture, Media and Sport’s welcome efforts with Made in Cardiff and the increase in local television news? Secondly, I say unashamedly that S4C is based in Cardiff North for now, although of course there are plans for it to go elsewhere. If we look at S4C’s spending, we see that 82% goes on independent broadcasts and supporting the independent network. I commend that as a way in which the media in Wales could approach supporting the sector.

[Guto Bebb]

I agree with both my hon. Friend’s points. We should applaud the success of a local television network in the Cardiff area, but that does not address the needs of the whole of Wales—of course, that is not to decry the success of such a service in the Cardiff area. I welcome S4C’s spend in the Welsh context and how that can foster a plurality of providers in production companies and so on. The fact that we have an independent television sector in Wales is in many ways a direct result of the existence of S4C. That plurality of production companies, if not of final destinations for programmes, is something that I welcome very warmly.

I mentioned our over-dependence on television for news in a Welsh context. The figures are stark. In most of the UK, about 45% of people get their main news from television; in Wales, the figure is more than 60%. Strikingly, because commercial radio is much more successful in most of the United Kingdom than in Wales, the figures on the number of people in Wales getting their news from the radio is slightly lower than in the rest of the UK. The overall picture, however, is clear: we have a dependence on the broadcast media that is not replicated in the rest of the United Kingdom. We should be concerned about that.

Even more concerning was a study of the 2007 Welsh Assembly election. No respondents to the survey said they gained their news about the election from London-based newspapers. It is difficult to see how there can be a democratic debate if 90% of the newspapers sold in Wales are London-based and contain no coverage of the election. Some 42% of the news that people received about the 2007 Assembly election came from BBC Wales. Obviously, we should congratulate BBC Wales for getting that reach, but before the BBC gets too proud of itself I should point out that the same survey showed that 55% said that their main source of information about the campaign was the polling card, and 72% said it was political literature—so it could be argued that we beat the BBC’s reach.

[Glyn Davies (Montgomeryshire) (Con)]

Although S4C and Welsh-language broadcasting covers very Welsh issues, does my hon. Friend agree that it would be wrong to separate that from the British context? Wales is a part of Britain, and if we are going to continue to subsidise the Welsh-language channel—inevitably it will need a degree of subsidy in the future—it would be wrong for the British Government just to say, “That’s a matter for the Welsh Government. They do not need a contribution from the British Government.” It would be a mistake to isolate the Welsh language as an issue to be dealt with only in Wales and say that it has no consequence for Britain; that would extend the trends he is talking about in other forms of media.

[Guto Bebb]

I have come to this debate without all the answers, but with many questions. That question is worthy of consideration.

The S4C viewing figures, which include viewing figures from platforms available in England, show a significant following of S4C programmes from viewers based in England. The Welsh language is one of the ancient languages of the United Kingdom, and therefore it should not be looked at in isolation from things that happen on this side of the border. The viewing figures show that S4C undoubtedly provides a service for people living on the other side of Offa’s dyke. It is the same for Radio Cymru’s radio provision. People who enter competitions in the daytime often live in Wolverhampton and Liverpool, happily listening to Radio Cymru. I accept that this debate should not be a Welsh-only debate, but it is important that it does not ignore Wales completely by becoming London-centric. I am genuinely concerned about that.

The figures show our dependence on broadcast media. There is a concern—again, this is not an anti-BBC point—that our dependence on the broadcast media in a Welsh context becomes a dependence on the BBC. The provision of news in Welsh and English in Wales comes from the BBC. If somebody watches BBC news or S4C’s news, they are watching a BBC product. The same is true of Radio Cymru and Radio Wales.

I was recently talking to my wife about this issue. She said that she seldom watches the nine o’clock news on S4C because she has heard most of the content on “Post Prynhawn” on Radio Cymru at 5 pm. That is a genuine concern. If we think that the viewing figures for “Newyddion Naw” on S4C—about 25,000—are not high enough, we need to ask why. When we acknowledge that people in Wales are dependent on the broadcast media for their news, we also acknowledge that they are dependent on the BBC for that content. I wonder whether the fact that 85% of all news content in Wales is provided by one provider is healthy. That is not to say that the BBC is doing anything wrong, but do we need more plurality? If News International provided 85% of all news content in a Welsh context, I suspect that most Opposition parties would complain. The same should stand in relation to the BBC.

We are slowly starting to have a debate in a Welsh context. The Media Reform Coalition and the Institute of Welsh Affairs are starting to talk about these issues, but we need to move forward at a much faster pace. Frankly, it is not just that the provision of information and news is lacking; our democratic institutions in Wales will be undermined if we do not deal with this issue quickly.

There is no denying that S4C is an important issue for all of us who care about broadcasting in a Welsh context. For those of us who are worried about the future of the Welsh language, it is an even more important issue. Most Government Members were willing to consider the spending reductions in 2010 in the context of the spending review, the real challenges facing the Government and other institutions, and the need for them to live within their means. But we need to ask ourselves a simple question: should the future of S4C be decided solely as an add-on to the charter review process, which is being undertaken in London?

The BBC has a budget of some £3.6 billion, and the grant for S4C and the programmes provided by the BBC comes to about £90 million. In the context of a £3.6 billion budget, it is difficult to argue that the £90 million that goes to S4C will be the tail that wags the dog. My concern is that S4C will be forgotten in the charter renewal process. We need to ask ourselves seriously whether it is enough for S4C to be considered as part of the charter review process, or whether an independent review should be undertaken in relation to S4C to ask a simple question: after 33 years, what exactly is the point of a dedicated Welsh-language broadcaster in the 21st century? I think the answer would be very positive indeed, but we have not asked that question since the channel was established in 1982.

In 2010, when the changes were announced to the funding of S4C, and when the reduction to the funding of the BBC and S4C was announced, the then Minister at the Department for Culture, Media and Sport promised that there would be an independent review into the future of S4C at the same time as the charter review. I think that would be welcomed in Wales—not because S4C is more important than any other broadcast element of the Welsh media picture, but because a review would be a starting point for asking serious questions about what exactly we want from the Welsh media in a Welsh context. I would argue strongly, therefore, that the promise that was part of the 2010 settlement should be delivered. I think there is an appetite in Wales for looking creatively and constructively at how to utilise and fund S4C in the future and at how to protect what is important in delivering a service to the people of Wales.

If an independent review is instigated—one was discussed in 2010, but the details were not as forthcoming as they should have been—it is crucial that it should be freed from the issue of cost and money saving. It is important that there should be a two-year provision of financial stability while the review is undertaken, and I would argue that that provision should come from both the BBC and DCMS. I appreciate that the Minister does not represent DCMS, so will not be able to give me certainty about funding streams from another Department. However, if there is an independent review, it has to take place in the context of a stable financial situation.

[Mr Mark Williams]

Will the hon. Gentleman give way?

[Guto Bebb]

I will give way quickly, but I am running out of time.

[Mr Williams]

I very much welcome the tone of the hon. Gentleman’s comments. I echo the need for stability, which is particularly important for the independent production sector, given the scale of some of the small enterprises. They are facing the prospect a £2.7 million cut in the central Government spending review, and possibly, if there is a 20% reduction from the BBC to S4C, a £15 million cut for S4C, which would have dire implications for the independent production sector.

[Guto Bebb]

It is difficult to escape the likelihood of real consequences. It is staggering how well S4C has coped with the funding reductions that were part of the 2010 settlement, but, given that less than 4% of the total budget goes on overheads, any further cuts will clearly be to programming, which would be a further kick to media plurality in a Welsh context. The review should not be just about S4C; it should be a starting point for an ongoing civic discussion in a Welsh context about what we want our media to provide.

I am coming to the end of my very long speech, Mr Chope; I apologise. We should be looking at the issue of the plurality of news content, which worries me as somebody who is obsessed with news and interested in current affairs—as I should be, given the job that I do. Ofcom states clearly that if our desired outcome is a plurality of media ownership, we should prevent any one media owner or voice from having too much influence on public opinion. That is certainly the situation in Wales. S4C is a recognition of market failure; it would not exist were we dependent on the market. As a free-market capitalist, I accept that. I believe in the free market, but I also believe that it does not always have all the solutions to all the problems that we face.

If S4C is to respond to the need to provide a service to Welsh speakers in a Welsh context, financial intervention through the licence fee payer, through the taxpayer, should be used for a further common good. For example, why does the deal between the BBC and S4C for 10 hours of BBC programming every week include news content? It must be easy for the BBC because it is not duplicating any services, but if we are concerned about the plurality of news content in Wales, such issues should be considered seriously in any independent review of S4C.

If such a review took place, it would also be an independent review of the media situation in the whole of Wales, because the organisations are so interlinked. If S4C could commission a new service from another provider, that would impact on the BBC, so an independent review would be a real step in the right direction in responding to the deficit in the provision of media content that allows us to discuss what is going on in Wales in a real and proper manner.

This is an important and, to a large extent, a cross-party issue. However, I fully recognise that decisions will have to be made and that my Government will have to respond to some of my points. I am not hiding from that responsibility. I hope that the Government will listen carefully. They responded positively in the past when calls were made to protect S4C’s budget. There is an opportunity here not only to respond to those who want to protect S4C, but to consider carefully how S4C fits into the media pattern in Wales and how, if we recognise a market failure, the intervention of licence fee payer and taxpayer money could deal with some of the deficiencies in media plurality in Wales. We need the opportunity to discuss matters in a Welsh context in the same way as happens in Scotland, Northern Ireland and certainly here in London.

--- Later in debate ---

[Chi Onwurah]

My hon. Friend intervened just as I was going to mention her in another context. She is quite right that a local radio network, particularly a BBC one, is an important part of media plurality, providing a local or regional insight and perspective on the news. I do not know where we would be without local coverage of our great sporting events, for example. I was grateful to her for making the point that large parts of north-east Wales cannot, in any case, receive BBC Wales, so its impact is limited and that encourages many Welsh citizens to turn to the national UK media outlets.

The fact that many Welsh people choose to consume UK media may also be a symptom of the convergence of media outlets. We cannot and do not want to stop the rise of digital and new media, and the innovation that that brings. However, as Ofcom’s Welsh advisory committee has noted:

“None of the London-based newspaper titles publishes a Welsh edition and there is almost a total absence of Welsh content in UK-wide newspapers.”

Historically, as we have heard, north and south Wales have different papers, and many Welsh people, if not the majority, take UK papers. While technology is disrupting traditional media models and creating many innovative online communities and interest groups—we have heard some of the hopes for the future in that regard—it has yet to provide a model that pays for local journalists on the ground covering events in communities and council chambers, or even the National Assembly Chamber. I speak as a champion of the internet when I say that we must recognise that the internet is not yet an alternative to independent professional journalism—certainly not yet in Wales. Ofcom’s advisory committee on Wales reported what many people have known for some time: that the situation is a cause for considerable concern and is getting worse.

Now a double whammy of cuts is coming down the track for public service broadcasters in Wales. The Chancellor’s decision to make the BBC pay for free TV licences for those over 75 has resulted in cuts to services. The Secretary of State for Culture, Media and Sport confirmed that Welsh programming would not be spared. As to the direct funding—I do not believe it is a subsidy—from DCMS for Welsh output, it has been reported in the media, although of course we do not know, that DCMS is planning for 40% cuts to its budget. In those circumstances it is highly likely that there are further cuts in the pipeline for Welsh output; but of course it is for the Minister to give us certainty about that.

[Guto Bebb]

The hon. Lady is right to make the point about the decision to agree with the BBC that the licence fee should come out of its budget; but from the point of view of concern about S4C, which is a small part of the BBC’s funding stream, surely the point is that the director-general agreed without any consultation with S4C, even though there were funding implications for it. Surely if the BBC were serious about its role in protecting S4C it would at least have consulted before making an agreement.

[Chi Onwurah]

The hon. Gentleman makes an excellent point. I agree that there should have been consultation with S4C, but I would also make the observation that the Secretary of State made his decision without consulting anyone, and in direct contradiction of criticisms he made while he was the Chair of the Select Committee on Culture, Media and Sport. In a democratic country we would expect consultation on a decision as important as funding, and obviously that would include consulting S4C on its funding.

I want to finish with some questions to the Minister. I am curious about what assessment he has made of the cuts, in a situation that is already a cause for serious concern. I have asked DCMS Ministers that question about a number of areas over the years and the answer is all too often a variation on “not much”. I hope that a Wales Office Minister can do better. What is the Minister doing to improve and strengthen media plurality in Wales? What discussions has he had with the Welsh Government and DCMS on cuts to Welsh public sector broadcasters? What assessment have the Government made of the effects of cuts on those broadcasters both before and since they were made? What discussions has he had with national media organisations more broadly, in the private and public sectors, about their coverage in Wales? Does he agree that there is a crisis in Welsh media plurality, and can he point to a policy or plan to address it?

I am sure that the Minister agrees with me and hon. Members about the importance of the issue to Wales. I am leaving as much time as he could need to set out how he plans to tackle it. The challenge is a long-term one that is not likely to go away without intervention from his Department, working in partnership across Government.

--- Later in debate ---

[Alun Cairns]

My hon. Friend has a strong reputation for carrying the front page—and not only of the County Times, in which he regularly features; I remember him even making the front page of the Daily Star, which certainly brought his name to the attention of many, particularly in Wales. He rightly champions the County Times and I know the interest he shows in it, but mid-Wales is an area with a gap in local radio coverage. That is recognised and ties in with the point made by the hon. Member for Clwyd South.

[Guto Bebb]

I want to focus again on online content. It is important to recognise that the media in Wales, whether south or north, such as the BBC and Golwg 360, is doing a great job in providing content on the internet. However, having spoken to some such organisations, my concern is about their ability to generate an income from online activities; that income is not growing as fast as the decline in income from trade sales. Great work is being done, but that online provision will soon be lost unless that gap can be plugged quickly.

--- Later in debate ---

[Guto Bebb]

I thank the Minister and the hon. Member for Newcastle upon Tyne Central (Chi Onwurah) for their responses to the debate. I suspected that the Minister would not be in a position to make any promises on the question of finance and I understand why. I appreciate his positive comments and am aware that in the ongoing negotiations within Government we have in him a strong champion for broadcasting in Wales of all types—whether online or on radio, in Welsh or in English. I thank him for his response.

Question put and agreed to.

Resolved,

That this House has considered media plurality in Wales.

Oral Answers to Questions

Guto Bebb Excerpts

Wednesday 16th September 2015 Commons Chamber

[Alun Cairns]

That seems to be a perennial question from Members. VAT is a matter for the Chancellor, who always keeps such matters under review, and there are currently no plans to change VAT on the tourism sector. There are great things in Wales that we can champion to encourage more tourists to Wales. The Countryside is GREAT campaign is promoted by VisitBritain and provides an excellent opportunity for that, and I look forward to the UK tourism Minister visiting Cardiff shortly to discuss the great opportunities that it offers.

[Guto Bebb (Aberconwy) (Con)]

Confidence in the tourism sector in my constituency is riding high, as illustrated by the £5 million refurbishment of the Llandudno Bay hotel. Does my hon. Friend agree that the only threat to confidence in that sector in Wales is the anti-business rhetoric of the Labour party?

[Alun Cairns]

My hon. Friend makes an important point, and his constituency depends significantly on income from the tourism sector. He rightly highlights the fact that every tourism business is a business, and the changes that we have made to make this a more entrepreneurial, innovative and growth-driven economy not only help every business but have particular relevance to the tourism sector.