Brexit: Creative Industries

Baroness Bonham-Carter of Yarnbury Excerpts

Thursday 19th January 2017 Lords Chamber

[Baroness Bonham-Carter of Yarnbury (LD)]

My Lords, I add my thanks to my noble friend Lord Clement-Jones for the opportunity to debate this very important topic.

We are a creative nation and so far as the creative industries are concerned we are ahead of the game. As many speakers have mentioned, they are the fastest-growing sector of the economy, and, as the noble Baroness, Lady Rebuck, said, they are an essential part of promoting the UK around the world.

The Prime Minister referred in her speech to our having the most effective “soft power”—she is right. In a study commissioned by Professor Joseph Nye, who coined the phrase, the UK comes out as global leader. What the Prime Minister did not say is that this is in large part down to the creative industries; that the UK’s cultural collections, institutions, industries and media create powerful channels of communication that help to increase the UK’s profile, forge links internationally and widen our sphere of influence. My noble friend Lord Clement-Jones did say this, but I feel compelled to add to his rather pale, male list of examples of those who spread the word about the UK so that it includes Adele—I think this is her third namecheck today—Idris Elba and Paddington Bear. Supporting and protecting this vital, vibrant sector is paramount to our economy, to our country’s sense of itself and to our place in the world.

Here, I take issue with the noble Lord, Lord Blencathra. Our creative industries have massively benefited from our membership of the EU. Take the British music industry. It contributes £3.8 billion to the UK economy, and Europe is its second-largest market. Take television. The UK is the second-largest exporter of television programmes and formats in the world, and the noble Lord, Lord Puttnam, eloquently enumerated specific concerns in this area. Take the fashion industry. London is Europe’s hub for first jobs and start-ups. Alexandra Shulman, the editor of Vogue, who should know, has expressed concern, saying that a lot of people working in the fashion houses are not British and,

“many of our fashion students when they graduate get great jobs working abroad … Versace, Prada, Yves Saint Laurent—they use our designers”.

Membership of the EU has meant that music and television producers and retailers can export and import freely across the continent. It has meant unrestricted access to the world’s largest trade area.

Crucially, as has been mentioned by the noble Lord, Lord Wigley, and my noble friends Lord Clement-Jones and Lord Foster, the free movement of people to work and travel across Europe without the need for visas has both facilitated and fuelled the exchange of culture, creativity and expertise, and generated commercial and artistic opportunities. Therefore, we welcome the Prime Minister’s recognition of the urgent need for a reciprocal arrangement with the EU on its nationals working in the UK and those British citizens currently employed in the EU. As the noble Lord, Lord Puttnam, so clearly stated, without the right deal on the movement of talent and skills, the creative industries will face big challenges. Will the Minister give his assurance that the Government understand that?

Creative skills do not sit easily with the traditional qualifications that the Home Office uses to evaluate visa applications. The noble Earl, Lord Clancarty, the noble Baroness, Lady Rebuck, and the noble Lord, Lord Taylor, all mentioned this. The contributions of those with creative skills cannot be as tangibly assessed. Many creative jobs are for small and medium-sized enterprises, which do not have the resources and back-up of big businesses, yet will be competing with them for a finite number of visas. There are also specific skills gaps that will need to be recognised and addressed, including the importance of freelancers.

As my noble friend Lord Foster mentioned, the Prime Minister acknowledged in her speech the need for investment in skills. Will the Minister ensure that this will involve the inclusion of creative subjects in the school curriculum—STEAM not STEM? The success of those in the creative industries lies in the fusion of creative and technological skills, and my noble friend Lord Clement-Jones referred to the relationship between creative and tech subjects. Schools need to be encouraged to promote not science or art but the art/science crossover. The Victorians understood this. They created the Science and Art Department and invested in what was to become the V&A, in order to develop the skills needed to feed British industry. The Prime Minister said in her speech:

“A global Britain must also be a country that looks to the future. That means being one of the best places in the world for science and innovation”.


I hope she recognises what the Victorians did and that the emphasis on science and innovation in post-Brexit Britain includes innovation in the creative industries.

Then there is the matter of funding, as mentioned by the noble Baroness, Lady Chisholm, and the noble Lord, Lord Wigley. Without the right deal, the UK’s creative industries will lose EU investment—investment which, by the way, also supports the development of creative skills. Across the country, there are examples of our membership of the EU enhancing UK culture. The Creative Europe programme has been referred to. UK applicants for this funding have a success rate almost double that of the EU average, and the programme is introducing a new bank guarantee, the cultural and creative sector guarantee facility, which is worth €121 million and will underwrite bank loans to creative businesses. The European Development Fund, also much mentioned, has supported cultural projects across the UK, such as Sage Gateshead, and has been critical to the growth in film production in the regions. Four British films, nominated for a total of 11 BAFTAs this year, have received EU funding. Will the Minister assure us that where access to EU funding is lost, the Government will seek to maintain investment through UK-based schemes? This request was also made by the noble Baroness, Lady Rebuck, and my noble friend Lady Benjamin, and my noble friend Lord Clement-Jones addressed this in detail, so I will not repeat what he said.

To conclude, in her speech the Prime Minister mentioned our “new modern industrial strategy”. The noble Lord, Lord Macdonald, the noble Baroness, Lady Rebuck, my noble friend Lord Clement-Jones and many other noble Lords mentioned that the strategy does not refer to the creative industries. Can the Minister confirm that they are recognised as central to this strategy and that, since there is to be a sector-by-sector approach to Brexit, the creative industries will be regarded as a key strategic sector with parity of esteem alongside the aerospace, finance and automotive sectors? As the Creative Industries Federation has said,

“the position of a government that prioritises controlling borders above all else to leave the single market”,

will make a,

“sector-by-sector approach to trade particularly critical … if the creative industries are to continue to thrive”.

Finally, in a survey conducted by the CIF of its members, 96% of those who took part supported remain. The Liberal Democrats have always been champions of creators and of their industries, and we call on the Government to listen to their concerns and ensure that the creative industries are at the top table when Brexit negotiations begin. Unless the interests of the creative industries are protected, leaving the single market will be a disaster for what I believe to be a jewel in the crown of our economy and a great British success story.