Gambling Harm (Social and Economic Impact of the Gambling Industry Committee Report)
Lord Foster of Bath Excerpts(3 years, 9 months ago)
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Lord Foster of Bath (LD)
My Lords, I would normally begin by saying how much I enjoyed the speech of the previous speaker, but I have to say that I fundamentally disagree with quite a lot of what the noble Baroness said—I will touch on that in a few moments.
I declare my interest as the chairman of Peers for Gambling Reform, which has over 150 Members of your Lordships’ House and was established to press for the implementation of the recommendations contained in the report of the Select Committee so ably chaired by the noble Lord, Lord Grade, on which I served. I too pay tribute to the excellent clerk, Michael Collon, and his staff. The committee was concerned by some of the information that we were given very early on in our deliberations, when we heard about gambling companies making billions of pounds in profits—and about the CEO of one company getting a pay cheque of nearly £500 million, for example. At the same time, there were over one-third of a million problem gamblers —probably far more, as the noble Viscount, Lord Colville, said—with, staggeringly, 60,000 children also being problem gamblers, 2 million people affected by it and, most tragically of all, more than one gambling-related suicide every day, as the noble Lord, Lord Grade, said.
We concluded that we simply cannot continue as we are with the outdated legislation from 2005, introduced long before the advent of the smartphone. Of course, we reflect that we are no longer just talking about trips to the casino or the betting shop for a flutter on the horses because, with smartphones, everyone has a mini-casino in their pocket. The gambling on offer is largely unrestricted, with no limits on stakes or prizes and with VIP deals from gambling companies offering huge incentives for gamblers to chase their losses and ever more new gambling opportunities regularly coming online. We are bombarded by gambling adverts on TV, around football pitches, on shirts, online and often directly sent to us in emails, pop-ups and so on. This means that we and our children are constantly being exposed to advertisements and incentivised to gamble. No wonder that the noble Lord, Lord True, speaking from the Dispatch Box—although perhaps in a personal capacity—recently said that, as a sports fan, he was
“sick and tired of gambling advertising being thrust down viewers’ throats.”—[Official Report, 27/1/22; col. 446.]
As we have heard, the recommendations of the committee were wide-ranging. But central to all of them was the need to adopt a public health approach to gambling, just as we already do for policies in respect of tobacco, drugs and alcohol, as the noble Lord, Lord Layard, pointed out. This is where I fundamentally disagree with the noble Baroness, Lady Fox. For far too long there has been an assumption—which she expressed—that, if only we could identify and protect those relatively few people who are supposedly vulnerable to gambling, we need not worry about the rest. But, as illustrated and demonstrated by the excellent video made by Gambling with Lives, which supports family members of those who have committed suicide because of gambling, anyone can become addicted. The gambling companies, which, as we have heard, make a high percentage of their profits from problem gamblers, design their offerings and marketing strategies to persuade as many of us as possible to start down that road and, once on it, to continue.
Last month, in a debate on gambling advertising in your Lordships’ House, I referred to Annie Ashton’s description in the Guardian of the predatory actions of gambling companies and of how her husband Luke committed suicide after relapsing into his gambling addiction. She said:
“the pattern of his gambling was obviously harmful. He took advantage of a free bet offer, deposited money, lost money, was immediately advertised another free bet offer, and the cycle would begin again.”
Luke found that being “bombarded with ads” on his mobile
“made it a problem that became impossible to escape.”
Such examples, and there are many more, illustrate the need for a public health approach.
I am delighted that the gambling Minister Chris Philp says that he agrees, but it requires, as the noble Lord, Lord Layard, said, a co-ordinated effort between several government departments and policymakers from education to health, to DCMS and beyond, but from what I have been able to ascertain there seems to have been little involvement of the Department for Health and Social Care in developing the anticipated White Paper. When he winds up, can the Minister confirm whether that is correct and, if so, why?
The public health approach informed the committee’s recommendations. They include, as we have heard, the establishment of a gambling ombudsman and the introduction of affordability checks, to which many noble Lords have already referred. Incidentally, the Gambling Commission just announced that it is going to look at them. I am surprised that the proposals supported by Peers for Gambling Reform have attracted so much criticism from the gambling industry and the noble Baroness, Lady Fox. After all, the majority of gambling companies already do affordability checks, in one form or another. We are arguing for one that is standardised across all gambling companies and independently monitored.
We are not seeking a hard limit on what people can spend, merely a soft check to ensure that they know what they are doing, that they can afford to do it and have decided to do it. Since this is for online gambling only, it would not, as some are concerned it would, apply to on-course betting. So the noble Lord, Lord Trevethin and Oaksey, and the noble Viscount, Lord Astor, need not fear. I point out to him and to others that there is a huge difference between horseracing and online gambling. If you bet at a racecourse—he does not have one, but other people do—there is a huge time gap between placing a bet on one race and on another. In modern online gambling, the rate of play is so frenetic that you can go on and on, chasing your losses. There is a significant difference between the two.
We want a change from the current voluntary levy to a statutory one. I note, as the noble Viscount did, that the statutory levy for horseracing brings in about £80 million. It is worth reflecting that the voluntary levy for other forms of gambling on two-legged animals brings in only £20 million or less. It seems at least reasonable to get the two to be comparable. The report makes clear that this can be done immediately. We have not specified precisely how—a formula could be based on profits, fees or something else—and the point made earlier was that it could be done in such a way that it is less for land-based businesses, which often have products that are less addictive, than for online gambling.
The object is to raise enough money for research, education and treatment and to raise it compulsorily so that the industry cannot opt out abruptly. It would break the link between giving the money and deciding what should be done with it. We need independence in determining what the research, education and treatment activities should be. I believe that there is lots of support for that from all sorts of communities.
Two other reforms have been referred to: reform of online gambling, not least to introduce stake and prize limits, just as we already have for land-based gambling, and, as we discussed in that earlier debate, limitations that curb gambling marketing. Currently £1.5 billion is spent marketing these products to us, with all sorts of inducements and so on. We believe that there should be a ban on direct marketing, an end to all inducements, such as those free bets, and a phasing out of sports sponsorship. We have suggested—I again suggest that the Minister have a look at the details of this—that there are ways of finding alternative funding for sports clubs, for instance through the introduction of sports rights, which would also begin to address the concerns the noble Viscount expressed in respect of drones.
Many of the recommendations do not need primary legislation, as we have heard, and I am delighted that there has been some movement since the report came out: the banning of credit cards, tighter restrictions in some aspects of gambling advertising and, not least, the establishment of more problem gambling clinics, with more to come.
As we have also heard, some raise the concern that this will have an impact on the Treasury. I am delighted that reference has been made to the NERA report that we commissioned, which demonstrates that not only would there be a reduction in gambling harm but that at the same time there would be huge benefits to the economy, with something like 30,000 additional jobs, more money going into the Treasury and so on, and more money available for research, education and treatment.
I welcome the fact that there has been some movement, but I desperately believe that much more is needed. As has already been said, the report was introduced more than two years ago and it said it was time for action. That action is now long overdue.
Earlier, before I came here, I went to a meeting of GambleAware, which has changed dramatically in the past two or three years. Only today it published a document, and I noticed this paragraph in it:
“The ongoing impact of the pandemic, a growing cost-of-living crisis and shift to online gambling means there is a potential increased risk of people experiencing gambling harms that remains unseen until an individual reaches a crisis point. Without action now, many more people and families could suffer.”
I hope the Government will at last get on with it. Unless they do, there will be more gambling harm and more lives ruined.
British Museum: Ethiopian Sacred Altar Tablets
Lord Foster of Bath Excerpts(3 years, 10 months ago)
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Lord Parkinson of Whitley Bay (Con)
The noble Lord touches on the core sensitivity of the matter. Some of these items are considered so sacred and holy that they can be looked at only by Ethiopian Orthodox priests, which would be the case in Ethiopia as in London. That is why the British Museum is in discussion with the Church. There are other items, however, from Maqdala that can be found in the museum’s public galleries or changing displays. Together and individually, they demonstrate some of the great artistic traditions of Ethiopia, showing the breadth and explaining the diversity of the religious traditions in that country, including Christianity, Islam, Judaism and many other faiths.
The Lord Privy Seal (Baroness Evans of Bowes Park) (Con)
My Lords, we have time. It is the turn of the Liberal Democrats and then the Labour Benches—if they could work out which one of them is going to stand up.
Lord Foster of Bath (LD)
My Lords, recognising that only a handful of priests of the Ethiopian Orthodox Church live in the UK, that not even the director of the British Museum can view them and that there is, in this case, no legal impediment, would it not help the trustees of the British Museum to come to the right decision if the Government indicated their support for the return of the tabots to Ethiopia? If the Minister agrees, would he instruct the trustees of that view?
Young Audiences Content Fund: Replacement
Lord Foster of Bath Excerpts(3 years, 10 months ago)
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Lord Parkinson of Whitley Bay (Con)
My Lords, this is a three-year pilot that is about to reach the end of its three years, and it must be evaluated so that we can see whether it has been as beneficial as noble Lords anticipate that it has. The noble Baroness is right that, even with the challenges of the pandemic, the industry has reached new heights of success, seeing record production in 2021, which is testament both to the UK’s status as the best place in the world to produce television and to the hard work of everyone involved in the industry. We want to evaluate the impact of the fund so we can see how best we can support them to continue to reach even greater heights.
Lord Foster of Bath (LD)
My Lords, can the Government at least ensure that there is a continuation of funding until such time as the review has been carried out and a government decision is made about what is to happen in future? Will that decision bring to an end the days of the Government raiding the BBC licence fee for projects, however worthy they might be?
Lord Parkinson of Whitley Bay (Con)
My Lords, it is important that this trial to test out new ways of contestable funding be evaluated before those decisions are taken.
Gambling Advertising
Lord Foster of Bath Excerpts(3 years, 11 months ago)
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Lord Foster of Bath
To ask Her Majesty’s Government what assessment they have made of the link between gambling advertising and gambling-related harm.
Lord Foster of Bath (LD)
My Lords, I declare my interest as chairman of Peers for Gambling Reform. Since gambling advertising and gambling itself were liberalised by the Gambling Act 2005, the promotion of gambling products has grown exponentially, with an annual spend now in excess of £1.5 billion and a growing amount of that happening online. It is worth noting that one in six adults follows gambling companies on social media, as do a surprising number of children.
Also growing has been the level of public concern about gambling companies using ever more sophisticated means to attract new customers and persuade existing ones to spend more, using a range of techniques to keep customers hooked, from disguising losses as wins and celebrating near-misses, to offering so-called free money and free spins. Writing in the Guardian recently, Annie Ashton describes the predatory actions of gambling companies and how her husband Luke committed suicide after relapsing into his gambling addiction. She wrote that
“the pattern of his gambling was obviously harmful. He took advantage of a free bet offer, deposited money, lost money, was immediately advertised another free bet offer, and the cycle would begin again.”
Luke found that being “bombarded with ads” on his mobile
“made it a problem that became impossible to escape.”
It is hardly surprising, then, that earlier this month a group of 50 academics called for “badly needed” restrictions on the promotion of gambling products. They wrote:
“In our opinion it has become quite clear that the gambling products being offered and the ways in which they are promoted are harmful to individual and family health and damaging to national life”,
adding that protecting young people should be a “top priority”, with unprecedented numbers being exposed to gambling advertisements via the internet and television. Their concerns include advertisements on TV, radio, online and elsewhere, gambling company logos on sports kits and in sporting venues, increasingly sophisticated direct marketing to individual customers and the use of sporting celebrities in gambling ads who become role models for vulnerable children.
These academics are not alone. There is a growing clamour for major reform among the public. A YouGov poll last year found that almost two-thirds of adults favour a complete ban on gambling ads and a ban on gambling sponsorship of sporting events and teams. In your Lordships’ House, the 150-plus members of Peers for Gambling Reform want change; just a few weeks ago, the noble Lord, Lord True, speaking in a personal capacity but while at the Dispatch Box, said that as a sports fan he was
“sick and tired of gambling advertising being thrust down viewers’ throats.”—[Official Report, 27/1/22; col. 446.]
Some changes have been made. The Advertising Standards Authority has tightened some rules and, possibly to ward off a tougher crackdown, the gambling industry itself has taken action. The Gambling Industry Code for Socially Responsible Advertising, which is in addition to the ASA’s codes, has been strengthened and includes a whistle-to-whistle ban on gambling ads during televised football games.
Although these moves are welcome, they only chip away at the barrage of messages adults and children see on a daily basis. After all, gambling logos can still appear more than 700 times in a single televised football game, despite the ban, because logos on shirts do not count as advertising. The industry and, at least until recently, Ministers, have used a variety of arguments against further restrictions: loss of income to commercial public service broadcasters and sports clubs, likely growth in black market gambling, and an absence, they claim, of evidence linking gambling advertising and gambling harm.
However, I believe that there are answers to each of these. For example, a ban on sponsoring sporting bodies could be phased in and the loss offset by offering sports rights, where gambling companies pay for the right to offer betting on sporting events. Working with banks, tougher measures against black market gambling could be introduced, although it should be noted that the Gambling Commission has said that the industry’s concerns about black market gambling are overstated.
I want to concentrate on the claim that there is no evidence of a causal relationship between gambling advertising and harm. To make this claim, the industry has frequently called in aid—as did John Whittingdale when he was Gambling Minister—the very limited survey of relevant research carried out by Per Binde in 2014, from which he concluded that none showed a causal link between gambling ads and harm. Yet the operators fail to mention that, more recently, in 2019, Per Binde produced a further study that concluded:
“Gambling advertising may contribute to problem gambling, and problem gamblers are more sensitive to advertising impact than non-problem gamblers.”
Here, and around the world, there is a growing body of evidence to support that more recent conclusion by Per Binde. Following a review of evidence, the ASA, for example, said:
“Several studies … have found associations between advertising exposure and the behaviour of problem and at-risk gamblers.”
It said that some studies produced evidence that was
“robust enough to support the existence of an association between exposure and gambling behaviour”.
A study published in December 2021 in the Journal of Gambling Studies shows that advertising is a predictor of at-risk and problem gambling in secondary school children. A recent Gambling Commission survey found that 34% of British bettors admitted to being influenced by advertising, noting that 16% claimed that ads caused them to increase their gambling. Some 13% said that ads led them to initially take up gambling, and nearly 15% said that viewing ads resulted in them taking up gambling again after taking a break. Earlier this year, researchers at Ipsos MORI and the University of Stirling found that 96% of young people aged 11 to 24 had seen gambling marketing messages in the last month and were more likely to bet as a result.
Under the heading:
“Gambling Advertising has no public benefit and contributes to harm”
the Coalition Against Gambling Ads cites multiple examples of recent research evidence and concludes:
“There is good evidence that, for a considerable number of people, gambling advertising substantially contributes to disordered gambling”.
These are just a few examples of the compelling body of evidence that has built up. It is undoubtably true that more research is needed, but there is now sufficient to suggest that we should be seriously concerned, and that industry claims that there is no link between gambling advertising and gambling harm should be dismissed. I was heartened that, in recent correspondence with me, the Minister, wrote that, “the government remains absolutely alive to the differential impacts and risks that gambling advertising may pose, especially to certain groups such as children and those already experiencing problems with their gambling.”
I am also heartened that, although it took some persuading, the Government now intend that the outcome of their gambling review will be based on a public health approach, just as we already have in relation to drugs, alcohol and tobacco. For gambling, a public health approach should lead to significant curbs on advertising, a ban on direct marketing, an end to inducements such as so-called free bets and the phasing out of sports sponsorship.
With around a third of a million problem gamblers, including more than 60,000 children, 2 million people impacted by it and more than one gambling-related suicide every day, we simply cannot continue as we are. Major reform of gambling advertising and other marketing measures are urgently needed and, despite what the industry says, are justified by the evidence. I hope the Minister agrees.
Public Health: Media Advertising
Lord Foster of Bath Excerpts(3 years, 11 months ago)
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Lord Parkinson of Whitley Bay (Con)
The Health and Care Bill introduces new UK-wide restrictions for the advertising of less healthy food and drink products, which are due to come into force from 1 January 2023. The noble Baroness referred to the recently published evaluation of the advertising restrictions introduced by Transport for London, which we note were limited to outdoor advertising. We intend to look at and analyse that evaluation in more detail.
Lord Foster of Bath (LD)
My Lords, I declare my interest as chairman of Peers for Gambling Reform. The Minister made reference to gambling just a few seconds ago and will be aware that the gambling industry spends in excess of £1.5 billion a year on advertising and associated marketing. Does he believe that that improves or damages public health?
Lord Parkinson of Whitley Bay (Con)
As the noble Lord will know, I cannot pre-empt our review of the Gambling Act, which is looking at all these issues and taking evidence from many, including Peers for Gambling Reform. It is a thorough and evidence-led look at gambling regulation; advertising is an important part of that, and we will set out our response in a White Paper in due course.
Gambling Act 2005
Lord Foster of Bath Excerpts(4 years ago)
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Lord Foster of Bath
To ask Her Majesty’s Government when they will publish their response to the Review of the Gambling Act 2005.
Lord Foster of Bath (LD)
My Lords, I beg leave to ask the Question standing in my name on the Order Paper and draw attention to my interest as the chairman of Peers for Gambling Reform.
The Parliamentary Under-Secretary of State, Department for Digital, Culture, Media and Sport (Lord Parkinson of Whitley Bay) (Con)
My Lords, as the Gambling Minister made clear in his speech at the GambleAware annual conference in December, our review is looking at a very wide range of issues and our call for evidence received 16,000 submissions, which we are considering carefully. We will publish a White Paper setting out our vision for the sector in the coming months.
Lord Foster of Bath (LD)
I thank the Minister for that reply, but with more than one gambling-relating suicide every day, delaying reforming our outdated gambling regulations is putting lives at risk. We do not have to wait for the White Paper to make changes, as we have seen, for example, in banning the use of credit cards for gambling. Given that strict stake and prize limits apply to land-based gambling but bizarrely not to online gambling, will the Government fix this harmful omission now and commit to a regular review of limits in years to come? Frankly, chaos in Downing Street should not be an excuse for delay in protecting lives.
Lord Parkinson of Whitley Bay (Con)
As the noble Lord rightly notes, we have made significant progress in recent years to make online gambling safer, including a ban on gambling with credit cards as well as new rules to reduce the intensity of online slot games. But we recognise that more can be done to protect people who gamble online. Our review is looking closely at the case for greater protections for online gamblers, including protections on products and for individuals. We called for evidence on protections including the pros and cons of stake limits as part of our review, and of course, we are considering all the evidence carefully.
Authors, Booksellers and Libraries: Economic Recovery
Lord Foster of Bath Excerpts(4 years, 1 month ago)
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Lord Parkinson of Whitley Bay (Con)
My Lords, that it is a matter for publishers and their academic customers. I am pleased to report that ebook sales have increased during the pandemic, so people are continuing to buy them, but I will take that point back to the department.
Lord Foster of Bath (LD)
My Lords, does the Minister agree that to ensure that authors get fair recompense we should do far more to ensure that readers are accessing legitimate books, not least by removing illegitimate material online? Will he tell us what progress has been made in developing the codes of practice to detect and remove illegal content, as committed to by the Government in the creative industries sector deal of 2018.
Lord Parkinson of Whitley Bay (Con)
This is a matter which has been touched upon in relation to the review of intellectual property rights. The consultation brought forward concerns in the sector about the unauthorised reproduction of books, so it is being looked at. I will write to the noble Lord on the follow-up work that has been done in the meantime.
Gambling: Children and Young People
Lord Foster of Bath Excerpts(4 years, 2 months ago)
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Lord Foster of Bath
To ask Her Majesty’s Government what assessment they have made of the research by Dr Raffaello Rossi and Professor Agnes Nairn What are the odds? The appeal of gambling adverts to children and young persons on Twitter, published in October.
Lord Foster of Bath (LD)
I beg leave to ask the Question standing in my name on the Order Paper, and I draw attention to my interest as chairman of Peers for Gambling Reform.
The Parliamentary Under-Secretary of State, Department for Digital, Culture, Media and Sport (Lord Parkinson of Whitley Bay) (Con)
My Lords, this research is a useful contribution to the evidence base and will be considered carefully in our ongoing review of the Gambling Act, which is taking a close look at the impacts of advertising wherever it appears. Gambling adverts must already not be targeted at children or appeal particularly to them. The committees for advertising practice will soon publish more on their plans to tighten the rules in this area.
Lord Foster of Bath (LD)
My Lords, I thank the Minister for his reply, but he will know that the research indicates how easily children can be influenced by gambling advertisements even when they are not targeted at children; indeed, under-age gambling is illegal, yet a third do it and over 60,000 are now classed as problem gamblers. Does the Minister agree that, in developing new gambling legislation, we should do what we already do for alcohol, drugs and smoking, and adopt a public health approach, prioritising prevention of harm in the first place?
Lord Parkinson of Whitley Bay (Con)
The noble Lord is right that a public health approach involves prevention as well as treatment. There is a wide range of provisions in the advertising codes designed to protect children, as well as vulnerable adults, from harm. The Committee of Advertising Practice has consulted on further strengthening the rules on appealing to children. We expect an announcement by the end of the year.
BBC: Government Support
Lord Foster of Bath Excerpts(4 years, 2 months ago)
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Lord Foster of Bath (LD)
My Lords, I congratulate the right reverend Prelate on his excellent maiden speech, and the noble Lord, Lord Bragg, on securing this debate, his incredibly forensic speech and his long and distinguished broadcasting career. As he said, the BBC is probably the best and most trusted broadcaster in the world, attracting international admiration. In an era of fake news, as we have heard, it is more important than ever that there are trusted, impartial news sources such as the BBC on which we can rely. But it is not just for news alone, as we heard. The BBC has an unparalleled range of services, from its education offering to its pivotal support for the creative industries. It is, of course, one of the greatest sources of British soft power throughout the world.
Even the BBC’s rivals share this view. Senior figures at Netflix, for example, talk of the BBC’s impact
“in building the profile of the UK creatively”
and their support for
“the long-term sustainability of the BBC”.
Despite significant growth in competition, the BBC continues to hold its own. More people use the BBC than any other media brand. Even when funding restrictions limit what the BBC can screen, it is still the broadcaster of choice. Broadcasting just 2% of sport on TV, it delivers around 40% of TV sports viewing.
So, on these Benches, while acknowledging, as the noble Lord, Lord Vaizey, said, that the BBC should regularly be challenged, we support a strong, well-funded and independent BBC and will oppose attempts to undermine this by seeking to reduce its funding or remit. Yet, sadly, decisions by the Conservative Government have meant the BBC having to take on more obligations with less income: a 31% cut over the past 10 years with a frozen licence fee, having to fund free licences for the over-75s—a social policy which should be funded by the Government—and additional obligations in relation to the World Service, BBC Monitoring, S4C and even broadband rollout.
Perhaps we should not be surprised. After all, it was the Prime Minister’s former advisor Dominic Cummings who called for the
“end of the BBC in its current form”,
advising right-wingers to work towards undermining the credibility of the BBC because it is the “mortal enemy” of the Conservative Party. There have been numerous examples more recently of that undermining. Following evidence that the decriminalisation of licence fee non-payment would cost the BBC dearly, rather than scrap their plans, the Government have said they will keep the matter under review, adding to what the NAO has called the “uncertainty” about the BBC’s financial future. A broadcasting Minister has argued that it will soon be possible to introduce subscription services as an element of funding for the BBC—a move that would undermine the crucial universality of the BBC, at a time when Ofcom has said that
“universality will still be necessary to deliver the benefits of public service broadcasting in future.”
I suggest to the noble Lord, Lord Hannan, that he recalls that the BBC was deliberately set up to disrupt the market because the market cannot and will not deliver this universality. We have had Theresa May’s former communications chief trying to block an appointment to the post of BBC News editor and the current Prime Minister’s attempt to the install former Daily Telegraph editor, Charles Moore, as BBC chairman. More recently we saw the Prime Minister desperately seeking, even trying to bend the rules, to appoint ex-Daily Mail editor, Paul Dacre, as the next chair of Ofcom, the BBC’s regulator, despite his well-known animosity towards the BBC and having earlier been judged by the interview panel as “not appointable”. He could hardly have been a neutral referee on BBC regulation. To cap it all, we have a new Secretary of State who has been so unclear about the sustainability of the BBC that she is not even sure if it will exist in 10 years’ time. The time has come for the Government to cease its attempts to “thwack” the BBC and, as the Motion proposes, start giving it greater support.
Creative Sector
Lord Foster of Bath Excerpts(4 years, 3 months ago)
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Lord Foster of Bath (LD)
My Lords, I begin by congratulating the noble Lord, Lord Spencer, on a truly interesting—which is often not the case—maiden speech. I also congratulate my noble friend Lady Featherstone on not just securing this important debate but, as the noble Baroness, Lady McIntosh, rightly said, on her excellent speech, which I hope will influence government thinking.
It seems to me that the Government have a Jekyll and Hyde approach to the creative sector. They rightly talk up its importance and, to be fair, have directed significant sums to help the sector during the Covid pandemic—yet in many ways they fail to understand the sector and its specific needs. This can be illustrated by many examples, such as the furlough scheme failing fully to take into account the sector’s particularly large number of freelancers and part-timers and the Government’s dismal betrayal, in the Brexit negotiations, of musicians and other creative performers whose livelihood comes from touring within Europe. Further evidence is provided, as we have heard, by the Government’s threats to cut the BBC down to size or to privatise Channel 4, failing to appreciate the importance of those institutions in the wider creative sector ecology.
In the limited time available, I will concentrate on just two other government policy areas to illustrate their failure to understand and respond to the creative sector’s needs: the talent pipeline and the importance of protecting intellectual property. Post-Brexit talk is all about developing homegrown talent yet, as far as the creative sector is concerned, government policies are hindering such development. For example, soon after the introduction of the apprenticeship levy it became clear that there is no one-size-fits-all scheme, and the creative industries argued for a bespoke one to meet their requirements and ways of working. Only now, after several wasted years, are trials of a more appropriate scheme taking place. I hope the Minister can update us on what is happening and that he will acknowledge that the failure to act sooner has meant that, as ScreenSkills has claimed, there are only one-quarter as many creative industry apprenticeships as there could have been.
While the Government are at last beginning to listen in relation to apprenticeships, the same cannot be said for what is happening in our schools—an issue raised so powerfully just now by the noble Lord, Lord Berkeley. The failure to include arts and creative subjects within the EBacc has led to students being discouraged from studying them and encouraged instead to focus on subjects that form part of the EBacc. Government workforce statistics show this very clearly, with a sizeable decrease in the teaching of non-EBacc subjects. For example, in the past 10 years art GCSE entries have declined by 37% and design and technology entries by nearly 60%. Not surprisingly, A-level entries in arts and creative subjects have also declined dramatically. A-level music entries are down by 44% since 2011. This is hardly a recipe for developing homegrown talent in the creative sector.
That is why we on these Benches have long argued for the inclusion of creative subjects within the EBacc—and we are not alone. The Commons DCMS Select Committee recommended it way back in 2013, and in June of this year the Commons Education Select Committee made a similar recommendation. To date no Minister has given a convincing justification for rejecting such recommendations, so I will listen with interest to our Minister’s attempt. And, while he is doing it, recalling that his party’s 2019 manifesto promised
“an ‘arts premium’ to secondary schools to fund enriching activities for all pupils”,
will he tell us when it is coming?
Now creative subjects in our universities are under threat, with an inevitable impact on the talent pipeline. The universities regulator has confirmed that it will be cutting its funding for arts subjects by 50% and, worse, we now hear that the Treasury is pressing for a reduction in the number of students studying such courses on the grounds that they are less likely to pay back their student loans. I hope the Minister can assure us that such pressure from the Treasury will be resisted.
To date, the Government have not listened to concerns about the talent pipeline, but I hope they might do about intellectual property. The generation and exploitation of IP is a defining feature of the creative industries. Piracy is a major threat to that exploitation. One of the problems in tackling it is that digital service providers do not verify the identities of those using their services, so pirates can make millions from their illegal activities without being identified. The Government have now said that they will look at how Know Your Business customer regulations might be introduced to deal with this problem. Can the Minister therefore update us on how that work is being taken forward and when he expects it to be concluded?
Finally, I have previously asked the Minister about the future of the IP exhaustion regime and the possibility that the Government may introduce an international rather than a national one—a move the sector believes will be devastating. So far, we have been told that the options are being reviewed and a decision will be made in due course. Given the importance of the issue, can the Minister say why it is taking so long, when we are going to hear and why the Government are even considering an option that could be an existential threat to our creative industries? The Government talk up the creative industries but must do more to understand them.