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It is a great pleasure to serve under your chairmanship, Ms Dorries. I thank the hon. Member for Sherwood (Mark Spencer) for securing what has been a passionate and committed debate. I was fascinated as he went through the history and heritage of TV and radio broadcasting in the east and west midlands. I thank all hon. Members who have made speeches and interventions. I thank my hon. Friends the Members for Birmingham, Edgbaston (Ms Stuart), for Birmingham, Selly Oak (Steve McCabe) and for Birmingham, Northfield (Richard Burden). I thank the hon. Members for Solihull (Julian Knight) and for Charnwood (Edward Argar). I also thank my hon. Friend the Member for Stoke-on-Trent South (Robert Flello) for his perceptive and incisive interventions in this important debate.
I pay tribute to the long-time campaigners. The campaign has been truly cross-party and has the support of the new Chair of the Culture, Media and Sport Committee. I also pay tribute to the campaigning of The Birmingham Post and the Birmingham Mail, which has been so important in placing the issue on the national agenda.
We are here to discuss BBC investment in the midlands. The main investment the BBC makes is in BBC Birmingham. My hon. Friend the Member for Birmingham, Edgbaston is right: those of us who live in the borders of north-east Wales have seen a lot of it—sometimes by choice, sometimes through transmitter problems; we do not always get BBC Wales, which is a subject for another day. There is no question but that BBC Birmingham has a proud history, having produced “Pebble Mill at One” and “Boys from the Black Stuff”. Across the midlands, the BBC produces “Midlands Today”, “East Midlands Today”, “Look East” and online content, and there are 14 local radio stations. BBC Birmingham makes great shows, such as “Doctors”, and it is the home of the BBC Asian Network, which was mentioned earlier.
BBC Birmingham also produces the great, popular radio drama, “The Archers”—I confess that I always thought it was based somewhere in the west country, not in the constituency of my hon. Friend the Member for Birmingham, Edgbaston. “The Archers” is more than 65 years old, but its listeners are of all ages and live around the world. Since FM radio waves travel through space, we can confidently say it reaches as far as Pluto. It has even been suggested that the theme tune of “The Archers” should be the English national anthem. It does not quite compare to “Hen Wlad Fy Nhadau”, but it is pretty good, and the programme is an extraordinary international production.
There are clearly very serious concerns about this issue. For instance, a quarter of licence fee payers live in the west and east midlands, but the area receives 2% of BBC spending. Last year, that meant the BBC received £942 million, and the midlands got £80 million back. The BBC is investing only £12.40 per capita in the midlands. Such figures have real consequences for infrastructure, and therefore for programming.
The BBC has little to no commissioning or production facilities in the midlands, and no primetime BBC 1 programmes are made there. In fact, the BBC does not make anything on BBC 2, BBC 3 or BBC 4 in the midlands, nor on Radio 1, Radio 2, Radio 3 or Radio 5. A small chunk of investment means a small chunk of infrastructure, which means a small chunk of programming.
At least three main problems have been raised in this debate. The first is the simple matter of fairness, which has been mentioned by many hon. Members. My hon. Friend the Member for Birmingham, Edgbaston previously referred to it as a mismatch, and she is absolutely right. One estimate is that the midlands pays out 12 times what it gets back.
The second problem relates to the infrastructure of creativity. The BBC is the central part of the United Kingdom’s creative and cultural ecosystem, and at a national level it plays a key role in training and fostering talent, encouraging investment and exports, and raising standards across the market. The £3.5 billion we pay for it is our single biggest investment in the arts. At a regional level, it helps to ground creative clusters, which can be seen most clearly in its move to Salford. The MediaCityUK cluster of creative firms and workers is grounded by the BBC. The investment it makes in the midlands—particularly in training and digital—helps to ground the area’s growing creative scene. More investment would mean a better and more flourishing creative ecosystem.
The third problem relates to what we see on our screens and hear on our radios. The hon. Member for Solihull spoke about diversity and regional content. This issue is about not only wanting more spending, but reflecting our country back to itself. It is important that we have stories from every part of the country. In every nook and cranny of the United Kingdom there is a unique viewpoint and a voice that we need to hear in our national conversation.
The Labour party is clear that we believe in a BBC for everyone, which is why we support the existence of the licence fee. The fundamental principle is that everyone pays in and everyone gets something out. People need to feel they are getting something out and that the BBC is worth it. I accept that not everyone agrees with that, but that is where the Labour party stands.
Will the hon. Lady clarify the Labour party’s position? Is it in favour of or against the continued criminalisation of non-payment of the TV licence?
There are major issues to be looked at, and we believe that that needs to happen in this debate on the BBC charter. It is not a little opt-out alone; the debate is much too important for that.
The BBC has recognised that there is a disparity. When Tony Hall become director-general in 2013, he visited the Mailbox and announced additional investment. In particular, the focus on training and digital was a sign of investment in the future of the BBC, as my hon. Friend the Member for Birmingham, Northfield said earlier. However, the issue has not gone away; the question is what we do now.
On 19 March, the Prime Minister was asked about BBC investment in Birmingham and the midlands. He said that
“the charter renewal is a good time to have that conversation”
and that
“these are the questions we will be able to ask in the charter renewal process which starts after the election.”
We agree with the Prime Minister on that. We are past the election and should be getting on with charter renewal, which is the right time to have that conversation. Charter renewal is our opportunity, every decade, to ask ourselves, “What do we want the BBC to do?” We re-examine the BBC’s purposes, governance, funding and investment in the round.
The Culture Secretary’s Select Committee report, “Future of the BBC”, laid out a road map for how the process would work. It basically means copying the successful model that Tessa Jowell, Labour’s Culture Secretary, took us through 10 years ago. That was a vibrant, open, consultative, national conversation about the BBC’s future. It is time to do that again. Labour wants an open and transparent national debate to start as soon as possible. We want all the excellent campaigners to be able to make their case in an open, transparent process, so the Government need to get on with it. The last charter renewal process was three years long. In a week’s time, it will be half that—a year and a half—until the charter runs out. Today, there are only 557 days to go. It is worrying that the Government seem inactive, saying, “We’ll make an announcement in due course.”
I thank the hon. Gentleman for his comments. When the previous Prime Minister stepped in, the economy was at a precipice, and there is no doubt that we took a great step forward. [Laughter.] There you go.
We need all Departments to look at their role and at the mood music they create. As Arthur Laffer says:
“You can’t love jobs and hate the job creators.”
The question is what we do about that. We cannot love jobs and hate the people who create them. That must be at the forefront of the thinking and agendas at the Treasury and the Department for Business, Innovation and Skills. I believe that our Ministers do love the job creators, but it would do no one in the Chamber any harm if we wore our hearts on our sleeves a little more openly.
The Government’s role is to set the conditions for business growth. The state of the public finances reduces our scope somewhat, but, to pick up a point raised by my right hon. Friend the Member for Wokingham (Mr Redwood), there is a method of cutting costs to business that will not reduce the Treasury’s take by a penny: reducing and minimising regulation. Over the first 10 years of the previous Labour Government, the increase in the regulatory burden saw the UK fall from fourth to 13th in world competitiveness rankings, a trend that has, unfortunately, continued.
As anyone who runs their own business will know—I am afraid that there are more business people on the Government side of the Chamber than on the Opposition side, and I ran a business for 22 years myself—business owners have spent ever-increasing amounts of time ensuring that their businesses comply with all the latest rules and regulations emanating from an ever-increasing number of Government agencies and quangos at home and in Europe. That is an unwelcome diversion from working and developing the business, and I welcome the measures being taken to reduce the number of quangos. We must, however, ensure that those quangos that remain do not unnecessarily hold back businesses, because time always costs money in the business world.
It was Adam Smith who said that vexation is the equivalent of taxation. I believe that regulation on business is vexation, so regulation is the equivalent of taxation. The business of business is business, and the business of government should be creating an economic and regulatory environment conducive to business growth and development.
Would the hon. Gentleman support more efforts to increase access to broadband, given that the lack of broadband is one reason why businesses cannot properly develop, particularly in many rural areas?
I would, and I have asked questions about that of the Minister in this very Chamber. It is important to prevent rural isolation following the disastrous closing of the post office network in rural areas under the previous Government.
Only through a strong and vibrant private sector can our nation’s long-term prosperity be assured. With that in mind, it is vital that we undertake measures to deregulate as soon as possible. I urge the Government to consult a document that my right hon. Friend the Member for Wokingham produced on this issue. His economic policy review in 2007 presented 33 specific areas where it was thought that the repeal of, and amendments to, regulations could cut costs and improve business efficiency.
I sit on the Regulatory Reform Committee, and I have severe concerns that it is simply not busy enough. I want the Committee to be one of the most active and busy in the House, which is why I support calls for the Government to bring forward a deregulation Bill as soon as possible and as a matter of urgency. Measures such as the scrapping of the home information packs produced no ill effects and got rid of regulations that did nothing but increase the burden of costs on consumers and business. We must continue that work.
We must also do more to tackle the gold-plating that we are so famous for in this country. EU regulations are signed up to by many countries, some of which do not have the will to implement them, some of which do not have the administrative ability to implement them and some of which, unfortunately, have neither the will nor the administrative ability to implement them. We have both, and we are very good at implementing regulations. That is unsustainable and it puts a tremendous burden on our businesses. We need to look around Europe to see how countries deal with their regulations in a lighter way. If possible, we should adopt those approaches to make the UK more competitive.
The answer to bad government and bad regulation is good government and good regulation. Regulations almost curtailed the growth of my business 15 years ago, when they caused a seven-year delay on a factory relocation. Fortunately, we managed to find a way through that.