Media Plurality (Wales)

Glyn Davies Excerpts

Tuesday 13th October 2015 Westminster Hall

[Guto Bebb]

I agree with both my hon. Friend’s points. We should applaud the success of a local television network in the Cardiff area, but that does not address the needs of the whole of Wales—of course, that is not to decry the success of such a service in the Cardiff area. I welcome S4C’s spend in the Welsh context and how that can foster a plurality of providers in production companies and so on. The fact that we have an independent television sector in Wales is in many ways a direct result of the existence of S4C. That plurality of production companies, if not of final destinations for programmes, is something that I welcome very warmly.

I mentioned our over-dependence on television for news in a Welsh context. The figures are stark. In most of the UK, about 45% of people get their main news from television; in Wales, the figure is more than 60%. Strikingly, because commercial radio is much more successful in most of the United Kingdom than in Wales, the figures on the number of people in Wales getting their news from the radio is slightly lower than in the rest of the UK. The overall picture, however, is clear: we have a dependence on the broadcast media that is not replicated in the rest of the United Kingdom. We should be concerned about that.

Even more concerning was a study of the 2007 Welsh Assembly election. No respondents to the survey said they gained their news about the election from London-based newspapers. It is difficult to see how there can be a democratic debate if 90% of the newspapers sold in Wales are London-based and contain no coverage of the election. Some 42% of the news that people received about the 2007 Assembly election came from BBC Wales. Obviously, we should congratulate BBC Wales for getting that reach, but before the BBC gets too proud of itself I should point out that the same survey showed that 55% said that their main source of information about the campaign was the polling card, and 72% said it was political literature—so it could be argued that we beat the BBC’s reach.

[Glyn Davies (Montgomeryshire) (Con)]

Although S4C and Welsh-language broadcasting covers very Welsh issues, does my hon. Friend agree that it would be wrong to separate that from the British context? Wales is a part of Britain, and if we are going to continue to subsidise the Welsh-language channel—inevitably it will need a degree of subsidy in the future—it would be wrong for the British Government just to say, “That’s a matter for the Welsh Government. They do not need a contribution from the British Government.” It would be a mistake to isolate the Welsh language as an issue to be dealt with only in Wales and say that it has no consequence for Britain; that would extend the trends he is talking about in other forms of media.

[Guto Bebb]

I have come to this debate without all the answers, but with many questions. That question is worthy of consideration.

The S4C viewing figures, which include viewing figures from platforms available in England, show a significant following of S4C programmes from viewers based in England. The Welsh language is one of the ancient languages of the United Kingdom, and therefore it should not be looked at in isolation from things that happen on this side of the border. The viewing figures show that S4C undoubtedly provides a service for people living on the other side of Offa’s dyke. It is the same for Radio Cymru’s radio provision. People who enter competitions in the daytime often live in Wolverhampton and Liverpool, happily listening to Radio Cymru. I accept that this debate should not be a Welsh-only debate, but it is important that it does not ignore Wales completely by becoming London-centric. I am genuinely concerned about that.

The figures show our dependence on broadcast media. There is a concern—again, this is not an anti-BBC point—that our dependence on the broadcast media in a Welsh context becomes a dependence on the BBC. The provision of news in Welsh and English in Wales comes from the BBC. If somebody watches BBC news or S4C’s news, they are watching a BBC product. The same is true of Radio Cymru and Radio Wales.

I was recently talking to my wife about this issue. She said that she seldom watches the nine o’clock news on S4C because she has heard most of the content on “Post Prynhawn” on Radio Cymru at 5 pm. That is a genuine concern. If we think that the viewing figures for “Newyddion Naw” on S4C—about 25,000—are not high enough, we need to ask why. When we acknowledge that people in Wales are dependent on the broadcast media for their news, we also acknowledge that they are dependent on the BBC for that content. I wonder whether the fact that 85% of all news content in Wales is provided by one provider is healthy. That is not to say that the BBC is doing anything wrong, but do we need more plurality? If News International provided 85% of all news content in a Welsh context, I suspect that most Opposition parties would complain. The same should stand in relation to the BBC.

We are slowly starting to have a debate in a Welsh context. The Media Reform Coalition and the Institute of Welsh Affairs are starting to talk about these issues, but we need to move forward at a much faster pace. Frankly, it is not just that the provision of information and news is lacking; our democratic institutions in Wales will be undermined if we do not deal with this issue quickly.

There is no denying that S4C is an important issue for all of us who care about broadcasting in a Welsh context. For those of us who are worried about the future of the Welsh language, it is an even more important issue. Most Government Members were willing to consider the spending reductions in 2010 in the context of the spending review, the real challenges facing the Government and other institutions, and the need for them to live within their means. But we need to ask ourselves a simple question: should the future of S4C be decided solely as an add-on to the charter review process, which is being undertaken in London?

The BBC has a budget of some £3.6 billion, and the grant for S4C and the programmes provided by the BBC comes to about £90 million. In the context of a £3.6 billion budget, it is difficult to argue that the £90 million that goes to S4C will be the tail that wags the dog. My concern is that S4C will be forgotten in the charter renewal process. We need to ask ourselves seriously whether it is enough for S4C to be considered as part of the charter review process, or whether an independent review should be undertaken in relation to S4C to ask a simple question: after 33 years, what exactly is the point of a dedicated Welsh-language broadcaster in the 21st century? I think the answer would be very positive indeed, but we have not asked that question since the channel was established in 1982.

In 2010, when the changes were announced to the funding of S4C, and when the reduction to the funding of the BBC and S4C was announced, the then Minister at the Department for Culture, Media and Sport promised that there would be an independent review into the future of S4C at the same time as the charter review. I think that would be welcomed in Wales—not because S4C is more important than any other broadcast element of the Welsh media picture, but because a review would be a starting point for asking serious questions about what exactly we want from the Welsh media in a Welsh context. I would argue strongly, therefore, that the promise that was part of the 2010 settlement should be delivered. I think there is an appetite in Wales for looking creatively and constructively at how to utilise and fund S4C in the future and at how to protect what is important in delivering a service to the people of Wales.

If an independent review is instigated—one was discussed in 2010, but the details were not as forthcoming as they should have been—it is crucial that it should be freed from the issue of cost and money saving. It is important that there should be a two-year provision of financial stability while the review is undertaken, and I would argue that that provision should come from both the BBC and DCMS. I appreciate that the Minister does not represent DCMS, so will not be able to give me certainty about funding streams from another Department. However, if there is an independent review, it has to take place in the context of a stable financial situation.

--- Later in debate ---

[The Parliamentary Under-Secretary of State for Wales (Alun Cairns)]

It is a pleasure to serve once again under your chairmanship, Mr Chope. I welcome this debate on an important issue, and pay tribute to my hon. Friend the Member for Aberconwy (Guto Bebb), who has shown an interest in the subject for many years since he came to the House. He is a champion of plurality, S4C, the Welsh language and news consumption, which are matters I want to return to.

I thank all the hon. Members who spoke. My hon. Friend the Member for Cardiff North (Craig Williams) highlighted the role of Made in Cardiff TV and of S4C, which is based in his constituency. The hon. Member for Arfon (Hywel Williams) reflected on a range of issues, including papurau bro. The hon. Member for Ceredigion (Mr Williams), who is not in his place at the moment, highlighted the relevance of local media, and the hon. Member for Clwyd South (Susan Elan Jones) talked about radio broadcasts and the impact of what has been happening in north-east Wales in particular. The hon. Member for Newcastle upon Tyne Central (Chi Onwurah) left me with a list of questions that I will do my best to answer as the debate develops.

It was also a pleasure to hear contributions from my hon. Friends the Members for Montgomeryshire (Glyn Davies) and for Carmarthen West and South Pembrokeshire (Simon Hart), who is looking forward to the move of S4C from Cardiff North to his constituency—no doubt he will be not only an existing champion, but a future champion of the interests of the channel.

In Wales, as in the rest of the United Kingdom, the public’s ability to access a wide range of news, views and information about the world, nation or region in which they live is central to the health of democracy and society. My hon. Friend the Member for Aberconwy talked about the changing political nature of Wales, and devolution rightly underlines the need for distinct and robust media outlets to contribute to the effective scrutiny of decisions made by tiers of government at all levels—it is essential to have accountability; a word he rightly used for testing policy and holding decision makers to account.

I recognise the specific challenges for media plurality in Wales outlined by hon. Members, in particular where the Welsh language is involved, and I will return to some of those points. Some issues were highlighted in Ofcom’s report on the future of public service broadcasting published in July, in particular our heavy reliance on BBC and S4C output for news and information about Wales. That point was also made by my hon. Friend.

I also recognise the importance of the Welsh context. Our topography has always presented challenges for terrestrial television coverage—for example, on commercial digital terrestrial television multiplexes—as well as for FM and DAB coverage. There has always been a battle over access to the broadcasting spectrum in Wales, which has arguably been characterised by fewer local commercial radio stations. Lower broadband take-up is another challenge because of the topography, although we are making excellent progress in closing the gap, but that has contributed to higher take-up of satellite TV than in other parts of the United Kingdom.

The debate has focused significantly on S4C. The channel has helped Wales to create one of the most dynamic examples of a creative industry cluster in the UK and beyond. In that context, it was a privilege to host a meeting at the Wales Office between key independent programme makers and companies and Teledwyr Annibynnol Cymru, the independent representative body, with the Secretary of State for Culture, Media and Sport only a couple of weeks ago. It was an opportunity for the independents to highlight their priorities for the Secretary of State and for him better to understand the needs of the sector in Wales.

Many of the companies involved are international in their outlook and operations. Their form rightly evolves and responds to the ever-changing marketplace. They have attracted private equity interest and takeovers, demonstrating the constant evolution and interest maintained in the industry from the perspective not only of viewers, but of the investments that result in a successful industry.

The success of Welsh television production has led to internationally recognised awards that have opened up significant export markets. Welsh-made television shows and formats are now sold worldwide. We have even had a Welsh hill farmer presenting on a French television programme—Gareth Wyn Jones, a farmer from Conwy, who originally starred in “The Hill Farm”, a show that has won an award from the British Academy of Film and Television Arts. He was asked to front a travel show on Wales for a major French television channel. That demonstrates diversity, which was one of the points made by the hon. Member for Arfon.

As well as a scene of dynamic independents, Wales has become a hub of creativity and a desirable place to make programmes, and I need only mention a few: the BBC 1 drama series “The Indian Doctor”, which has been sold to the US, China, Estonia, Mexico and Israel; “Dr Who”, for which Wales is the production centre and which is an iconic success of British television that has aired in more than 200 countries and been dubbed into many languages; S4C’s “Fferm Ffactor”, which is now licensed and produced in Denmark, Sweden and China; “Hinterland”, which was filmed in both Welsh and English, highlighting innovation and significant economies of scale from co-operating with the BBC and creating interest overseas from other independents; and children’s programmes shown on CBBC, with BAFTA-winning spin-off apps demonstrating the divergence between modern and traditional broadcasting technology.

Wales is home to more than 50 television and animation companies, which collectively generate around £1 billion a year for the Welsh economy. That all contributes greatly to employment in Wales, and last year 51,000 people were employed in the creative industries—a 10.5% increase since 2011—and 80,000 in the wider creative economy.

We have not given too much attention to plurality in radio in our debate, but it is relevant to the issues that were raised. I am pleased that the BBC is extending its national DAB coverage with 22 new transmitters across Wales by the end of 2015. Furthermore, with the BBC and commercial radio, the Department for Culture, Media and Sport is investing up to £7.75 million to extend local DAB to match local commercial FM coverage. That will support further plurality in broadcasting in Wales, for which the hon. Member for Newcastle upon Tyne Central called. I hope that that will be welcomed in all parts of the House.

The benefits will be more choice of digital radio services for Welsh listeners and substantial improvements in BBC radio and BBC Radio Cymru digital coverage. Equally importantly, that offers opportunities for local and regional commercial radio services, which are popular throughout Wales and which play an important part in the plurality of news services—an important point highlighted by the hon. Member for Clwyd South. The new technology will provide more opportunities to fill the gaps, where they exist. I recognise, however, that more needs to be done further to enhance digital radio coverage in Wales—something we highlighted in the BBC Green Paper.

As hon. Members have mentioned, Wales does not have as strong a print media sector as Scotland or Northern Ireland. Ofcom, in its recent assessment of public service broadcasting across the UK, highlighted the fact that most daily newspaper readers read newspapers that include little content related specifically to Wales and the National Assembly for Wales—something that was underlined by my hon. Friend the Member for Aberconwy. While the print circulation of dailies in Wales continues to decline, along with the circulation of dailies throughout the United Kingdom, online services go from strength to strength. There has been little coverage of that in the debate so far.

Media Wales is one example, with its Wales Online brand doubling its audience last year, according to the latest ABC—Audit Bureau of Circulations—figures. North and south Wales are specifically targeted by Media Wales through the Western Mail and the Daily Post brand. It is also worth highlighting, however, the fact that Wales’s highest-selling daily newspaper, the South Wales Evening Post, based in Swansea, has also shown a strong performance online.

Other regional groups are important. The Tindle group has an exceptionally strong presence in my constituency, with the Glamorgan GEM series, but also in Monmouth, Pembrokeshire and elsewhere. Newsquest has the Barry & District News and the Penarth Times in my constituency, and the South Wales Argus in south-east Wales, as well as publications elsewhere. Similarly, its focus has shifted to its online output, on top of the weekly sales or distribution of its papers.

[Glyn Davies]

I thank the Minister for giving me the chance to mention the County Times in Montgomeryshire —probably the only newspaper sold in Wales that has not yet had a mention today. My constituency is close to Shropshire, so it is also worth mentioning the Shropshire Star, a hugely important newspaper in Wales. These media, including internet companies in Welshpool and Newtown, are growing incredibly rapidly and having significant influence. A whole range of providers in eastern Wales might not have featured in the debate until I intervened.

[Alun Cairns]

My hon. Friend has a strong reputation for carrying the front page—and not only of the County Times, in which he regularly features; I remember him even making the front page of the Daily Star, which certainly brought his name to the attention of many, particularly in Wales. He rightly champions the County Times and I know the interest he shows in it, but mid-Wales is an area with a gap in local radio coverage. That is recognised and ties in with the point made by the hon. Member for Clwyd South.