Theatre Tax Relief

Baroness McIntosh of Hudnall Excerpts

Thursday 9th March 2023 Lords Chamber

[Baroness McIntosh of Hudnall (Lab)]

My noble friend Lord Bassam referred in his question to changes in audience behaviour since the pandemic, which has had a very serious impact on the ability of performing arts in particular to plan confidently. Audiences appear to respond to strong, novel programming, which is where the highest initial risk tends to lie. Has the Treasury made any assessment of the potential loss to the Treasury if performing arts organisations and others start to decrease their investment, thereby damaging the potential they have to draw audiences, which would then impact Treasury revenue?

[Baroness Penn (Con)]

My Lords, the points that the noble Baroness makes are entirely those that we would want to consider in looking at the issue. She is absolutely right about the value and the costs when it comes to the production of these shows, which is why the tax relief is focused there. She is also right that they can bring huge economic benefit, including through exports, attracting visitors to the UK and productions going on the road. Those are the kinds of things that the DCMS and the Treasury will consider when looking at the tax relief.