Enterprise and Regulatory Reform Bill

Baroness Buscombe Excerpts

Wednesday 6th March 2013 Lords Chamber

[Baroness Buscombe]

My Lords, I add my support to my noble friends who have already spoken and congratulate the Minister on all that he has done to engage with us and our concerns in relation to this part of the Bill.

When I have spoken on this Bill previously, I have said that it has much to commend it, and I am still of that view—very much so. Close scrutiny through Grand Committee has given the Government the opportunity to improve the Bill further and indeed in many cases they have. I am particularly interested in Clauses 67 to 69, which have a direct impact on the cultural fabric of and economic opportunity for the UK. In particular, the creative industries have shown incredible concern about the manner in which these proposals were formed and the perception that there is a will within Government and the Intellectual Property Office to unpick the intellectual property framework that underpins many creators and rights holders, in favour of US technology companies and others who want to use more copyright content for free. Of course, the Minister has gone a long way to seek to allay those fears.

However, commercial companies and organisations in our creative industries quite rightly expect a financial return from investing in creating original content and then archiving and preserving it for others to pay a licence. They lead the way in it and in many sectors such as audiovisual there is healthy competition, sensible pricing and industry-driven innovation to adapt to the digital age. Therefore, it is wholly wrong, in our view, for legislation to reduce these commercial incentives in favour of the radical and in many cases I believe ill-advised recommendations from Professor Hargreaves that inform the copyright measures in this Bill.

One of the reasons for putting my name to this particular amendment is that we have to think about competition not just in terms of cross-border and close to home but further afield. For example—I may refer to this later when we are looking in more detail at extended collective licensing—China has just announced that it would implement ECL in its copyright law. It is said that the details will be in regulations yet to be published. The UK Government will not be in a position to demand appropriate safeguards for licensing of UK copyrights by ECL in China if we ourselves do not have them in our own legislation as the Nordic countries do. Nor will UK rights holders or their representative bodies be in a strong position to safeguard UK rights abused by ECLs in foreign countries if the UK’s own statute lacks the necessary safeguards.

I support this amendment. A regular update so that we know about progress in terms of the Intellectual Property Office is really important. I feel that the Minister is on our wavelength and understands our issues, and we would be grateful for some positive comments from him with regard to this amendment.

[Lord Howarth of Newport]

My Lords, I, too, welcome the Minister’s commitment that an annual report should be published by the Intellectual Property Office. It may not reach the top of the bestseller lists, but it is right in principle that the public should have the opportunity to be informed about what the current issues are and what developments in policy are or may be. That is very proper. Of course, Parliament in particular should have that information. I hope that we would find the opportunity to debate the annual report each year that it comes out.

I congratulate the noble Lord, Lord Clement Jones, and his co-signatories on the terms in which they have they expressed this amendment and the particular examples that they have given of the kind of material that should be covered in the annual report. The report would need to review the state of copyright licensing in the United Kingdom. I hope that in fulfilling that requirement it would provide a discussion about how the Intellectual Property Office seeks to balance its absolutely right and necessary defence of the interests of intellectual property holders with wider interests that the public may have in the early and extensive benefit that can be received from the dissemination of this new information, knowledge and material. That is important.

I am also pleased that the expectation would be that the annual report should review cross-border co-ordination between our own jurisdiction and jurisdictions in other countries. For example, we would certainly want to know how the Intellectual Property Office and BIS are looking to mesh the complementary policies that we develop in this country with the policies that are being developed in the European Union and other countries that may be ahead of us in some respects.

For example, we know that the European Union orphan works directive is very limited and strictly curtailed in what it would allow. Only cultural sector bodies and educational establishments, not companies, could benefit from its provisions. Public/private partnerships, for example, would be prevented. That represents what is at the moment too limited and cautious an approach on the part of the European Union.

Mass digitisation projects are only going to be able to be carried out by our great cultural institutions in partnership with the private sector, and that ought to be contemplated as policy-making develops both in this country and in Brussels. The attempt to continue to draw absolute distinctions between commercial and non-commercial purposes will prove to be too restrictive of the ability of great institutions that are publicly funded in this country, such as libraries, universities and museums, which ought to be able to work freely in partnership with the private sector but which may be constrained by legislation as it has so far appeared to develop.

The noble Lord, Lord Clement-Jones, also mentioned the question of metadata. That is highlighted in the amendment. It is excellent that, at last, we have a working group looking at the problems that arise with metadata and digital photography. The working group is trying to find out why this stripping happens, why creators do not get paid and, above all, what solutions might be found, presumably by way of new technology but perhaps in other ways, to ensure that intellectual property is not stolen from photographers. The fact that it is already illegal to strip metadata under Section 107 sadly does not prevent it happening. There is a legitimate and very important issue there and I hope that progress on that will be covered in the report, as the noble Lord said.

I also hope that the report will inform us as to how the Intellectual Property Office seeks to gather views and reconcile different interests and points of view. I have very much sympathy with it in the very difficult and sensitive task that it has to carry out.

Let me give an instance. I saw in the British Journal of Photography recently a story headed:

“News agencies go on the offensive, call for judicial review of copyright changes”.

I was surprised to learn that:

“The world’s largest news agencies have delivered a Letter Before Claim to the UK’s business secretary Vince Cable in what is described as the first step in the process of initiating a Judicial Review - a formal legal challenge to governmental planned legislation”.

The article goes on to suggest that the Government are proceeding quite improperly. It challenges the Government’s plans to introduce their proposed changes through what they were pleased to call “Henry VIII clauses”—secondary legislation which is not subject to the full scrutiny of Parliament.

That is not very complimentary to your Lordships. We are engaged in quite serious and intensive scrutiny of this legislation. We certainly will be when we have the regulations in due course. What was completely bizarre was then to read a quotation in the name of Mr Paul Ellis of the Stop43 organisation:

“The technology, academic and cultural heritage sectors want to be able to use other people’s copyright property without having to ask or pay for it, and view copyright law as an obstacle. Under their intense propaganda and lobbying onslaught several governments have fallen for this line and are trying to introduce laws that weaken copyright, such as the Enterprise and Regulatory Reform Bill now going through Parliament”.

He then goes on to denounce,

“these lobbying-driven legislative attempts to confiscate our property”.

It seems a bit of a case of the pot calling the kettle black. The serious point is that the IPO is very vigorously lobbied from a multiplicity of sources and by a multiplicity of powerful commercial interests; the noble Baroness, Lady Buscombe, referred to some of them. It has always to be the duty of the IPO, the Government and us in Parliament to ensure that workable policies are arrived at that represent an appropriate balance between the range of competing, relevant and, indeed, legitimate interests that are all intensely concerned about what we do.

I hope that the annual report will include some account of how the IPO weathers these storms and what its philosophy is in terms of receiving and listening to representations and establishing working groups which allow people to have the opportunity to contribute their thinking and remind policy-makers of their legitimate interests but, at the same time, do not cause the policy to be unduly tipped and biased in favour of those who shout loudest. That would always be wrong. I have every confidence that that will not be allowed to happen. However, it may be helpful to those who have this arduous and difficult responsibility of developing the technical details of policy in the copyright field that we have a better understanding of what it is that they have to cope with. I support this amendment.