Oral Answers to Questions
Debate between Graham P Jones and Lord Vaizey of Didcot(8 years, 7 months ago)
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Graham Jones (Hyndburn) (Lab)
The Minister’s Government have implemented £685 million of cuts to Lancashire County Council, resulting in massive library and museum closures. When will his Government take responsibility for this attack on our heritage and culture, which amounts to treachery when we lose them forever? It is disgraceful. When will his Government take responsibility?
Oral Answers to Questions
Debate between Graham P Jones and Lord Vaizey of Didcot(8 years, 10 months ago)
Commons ChamberRead Full debate Read Hansard Text
Mr Vaizey
I will happily meet my hon. Friend at any point. I am pleased that at least 93% or 94% of his constituents have superfast broadband. Of course, it is more difficult because of state aid rules to subsidise broadband in cities, but I will certainly meet my hon. Friend and discuss the particular issues he faces.
Graham Jones (Hyndburn) (Lab)
I, too, wish the Minister well on maternity leave. I hope that it all goes well and that we see her back in her role.
A recent response from the Gambling Commission to a freedom of information request has revealed 633 possible incidents of money laundering in betting shops in the past 12 months alone. Not only that, but online we are seeing videos of fixed odds betting terminals being smashed up with chairs and hammers. What are the Government going to do to protect lone staff and vulnerable people in betting shops?
Oral Answers to Questions
Debate between Graham P Jones and Lord Vaizey of Didcot(10 years, 6 months ago)
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Graham Jones (Hyndburn) (Lab)
13. What recent discussions he has had with gambling addiction charities on funding for research into fixed odds betting terminals.
Oral Answers to Questions
Debate between Graham P Jones and Lord Vaizey of Didcot(12 years ago)
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Graham Jones (Hyndburn) (Lab)
8. What steps her Department is taking to address problems with digital television reception in Baxenden.
The Parliamentary Under-Secretary of State for Culture, Media and Sport (Mr Edward Vaizey)
There are a few factors that could affect reception in Baxenden, but I gather that the most likely cause is a wind farm—I do not know whether that information is available to the Minister of State, Department of Energy and Climate Change, my hon. Friend the Member for South Holland and The Deepings (Mr Hayes).
Graham Jones
I am grateful to the Minister, who is up to date on the matter. Baxenden, of course, has a weak signal from the Winter Hill transmitter, which has been identified by his Department as one of those that will be most adversely affected by the 4G roll-out. That will affect my constituency because the weak signal spans right across it. He is correct, because over the weekend scientific evidence indicated that the wind farm was the problem. I add that more turbines would probably alleviate the situation. What will he do to clarify the legal responsibility in this case and how my residents can get compensation in cases where it could be the wind farm or 4G that is the cause?
Mr Vaizey
As I understand it, mitigating the impact of the wind farm is the responsibility of its operator, which is now communicating with residents and providing solutions, such as moving aerials so that they can pick up signals from the alternative transmitter. As he correctly says, interference is not caused by 4G, because of course the 4G that could interfere with digital televisions signals has not yet been deployed.
UK Internet Search Engines
Debate between Graham P Jones and Lord Vaizey of Didcot(13 years, 10 months ago)
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Mr Vaizey
I am grateful to you, Mrs Main, and for the intervention.
What is the current position regarding search engines? It is absolutely true that the foremost popular internet search engines in this country are based in America. The top two have more than 90% of the market, and that situation is replicated pretty much across the globe, as evidenced by Google’s global market share of around 85%. On one level, the internet search engine market obviously operates in a free market environment, and in the UK there are no barriers to a consumer’s ability to switch to a preferred search engine or to stay loyal to the one of their choice. Many search engines, including the most popular, have local versions that search only UK websites.
Graham Jones
Will the Minister comment on the bundling of browsers? Apple’s Safari has a direct link with Google, in that the Google search is in the taskbar, and Microsoft’s browser has its own Bing search engine. Will the Minister admit that such bundling practice is anti-competitive and does not create an open and level playing field with fair competition?
Mr Vaizey
It is open to the consumer to choose the product that best suits them, but it is also open to individual companies to partner with whichever companies they choose. Consumers want a service that offers good performance and enables them to find what they want quickly and easily. Google has entered a market and gained market share by giving consumers what they want.
The hon. Gentleman is obviously not speaking in a vacuum, and he referred in his speech to the investigation that is being undertaken into Google. All businesses operating in Europe have to comply with competition law, and the EU is carrying out an anti-trust probe into the alleged abuses by Google. He has mentioned the case of Foundem, which was one of the companies that took a complaint to Europe to secure the probe. It cited allegations of manipulation of its search results, particularly the unfavourable treatment of its unpaid and sponsored results, and the preferential placement of Google’s own services. The probe clearly demonstrates that regulators are alive to the possibility of dominant market players abusing their positions.
The hon. Gentleman also made the point that a number of companies in the UK—not least in his constituency—have concerns about Google’s alleged dominance. It is perfectly open to those companies to ask the Office of Fair Trading to investigate, and I understand that OFT considered the Google case in 2009 and concluded that there was no evidence to suggest that UK consumers had suffered as a consequence of Google’s market share. In his evidence to the Culture, Media and Sport Committee, John Fingleton, the director general of fair trading said:
“Where a company has achieved that position by superior innovation, foresight and better targeting of customers, we’re very wary of intervening…We see a lot of customers benefit from what’s happening in this marketplace from very high innovation—it’s good for the British economy. We don’t want to send a negative signal about that.”
We must keep in mind that there are, according to one source, 177 UK search engines servicing the UK market, including not only the organisation that the hon. Gentleman has mentioned, Reach Global, but companies such as Mojeek, which is based in East Sussex and offers a
“crawler based search engine providing unbiased, fast and relevant search results combined with a clean user interface and user privacy conscious approach.”
It is important to say that where allegations of abuse are made, it is open to individual companies to approach the Office of Fair Trading. We have a robust competition regime in this country and in Europe, and where there is evidence of abuse, it is perfectly possible for the relevant competition authorities to investigate it.
We are debating Google, but we could be debating equally interesting issues involving individual companies on or engaged in the internet. For example, many people who use the internet do all their transactions or engagements via Facebook. The hon. Member for Hyndburn has mentioned Safari’s tie-up with Google, but again, if one has an iPhone or iPad, much of one’s engagement with the internet works through applications vetted and sold by Apple. We are, to a certain extent, coming to a point in the development of the internet where consumers may choose to stay with one or two trusted sites or companies, be it Apple, Facebook, Google or a particular internet service provider, as well as using the open internet where people search and find information.
It is also worth making the point that many ISPs in this country are British-based. One can access the internet through BT or Virgin Media. When raising concerns about the dominance of Google, we should also celebrate the fact that a British company such as BT, which is at the heart of our tech industry, is a global company with a presence in 170 nations around the world.
On general internet policy, the hon. Member for Newcastle upon Tyne Central was probably inviting me to talk a bit about net neutrality, among many other things that take my interest. I am conducting a number of round tables and much policy development work on a host of different issues. The first is illegal piracy and the unauthorised downloading of music and film. I am seeking to implement the Digital Economy Act 2010, which will obviously affect the development of the internet. There is also the protection of children from inappropriate content. Again, I am seeking a self-regulatory solution from ISPs in order to give consumers the opportunity to choose to protect their children from inappropriate content.
Another issue on which I have spoken and which has produced an interesting debate is net neutrality, on which I will briefly set out the Government’s position. The term “net neutrality” is difficult, because it means different things to different people. Interestingly, my speech on the subject was called, “The open internet”, but it was interpreted in entirely the opposite way. Let me be clear that we are absolutely committed to an open internet. That is relevant to the constituents of the hon. Member for Hyndburn, because we want small, high-tech and internet companies to have an opportunity to reach consumers without being unfairly discriminated against.
The internet has developed at a huge pace and in directions that were impossible to predict, so we are wary about introducing legislation that would dictate how it might evolve. In my opinion, the internet has done very well without over-regulation, and I want such innovation to continue. Nevertheless, the improved transparency requirements provided by recent revisions of the electronic communications framework, along with a competitive marketplace and the ability to switch easily between providers, should mean that regulation in that area is unnecessary. We want to give the market the opportunity to self-regulate, which is important, but Ofcom will monitor closely how the market develops. If it develops in an anti-competitive way, Ofcom will have the appropriate powers to intervene.
Graham Jones
Does the Minister agree that the examples I quoted about Google’s rise show that that has taken place at others’ cost and that other companies have fallen? What has happened has been to the disadvantage of UK firms in an anti-competitive way.
Mr Vaizey
That is a difficult question to answer. First, Google operates in a competitive environment, where there will be winners and losers. As UK citizens, we may be patriotic enough to have wished that it was a UK search engine that had won that particular battle, but the fact is that it was Google. My second point is that it is an open internet, and it is open to any consumer to use any search engine that they choose. Thirdly, although I am not here as an advocate for Google, it is probably worth pointing out that, as a search engine, Google has provided huge opportunities to UK companies—not just high-tech companies, but retailers and small businesses—who have the opportunity to reach a global audience.
The hon. Member for Strangford (Jim Shannon) has mentioned the talent and ability of young people in Northern Ireland—I completely concur with his comments—and invited me by implication to talk about how we plan to ensure that our creative industries in this country continue to flourish. In that respect, the hon. Member for Hyndburn and, indeed, his constituents, whose letter I was fortunate enough to see a copy of, are right to point out that high-tech innovation takes place not only within the M25, but all over the country. The north-west and Northern Ireland are two particular areas where there is a lot of expertise and skill. Particularly in the north-west, the development of Salford and MediaCityUK will have a significant impact on the growth of creative industries. The creation of Creative England, with one hub in Manchester, is a source of Government support for the creative industries in general, and I hope that that organisation will have an impact.
In general, we want to create new businesses to try to keep our young talent here. We want to lower the regulatory barriers that have a huge impact on the sector, including employment and environmental laws, and take account of the cumulative impact of existing and potential regulation. We want to look at the international regulatory regime and how it should adapt to the rise of the internet and the challenges and opportunities that it presents.
The constituents of the hon. Member for Hyndburn mentioned the Hargreaves review, which will look at the intellectual property system and consider how it can possibly be reformed to overcome barriers to growth and enable business models to develop that are fitted for the digital age. We want to look at the application of the competition regime and consider how it should be best structured, empowered and guided to deliver a competitive and thriving UK media system. We also want to look at the removal of blockages in the skills system, which mean the needs of employers in the sector are not fully met.
Graham Jones
On the correspondence that he has received from Reach Global, will he accept my offer to come to Church to have a look at that company? I would appreciate that.
Mr Vaizey
Absolutely. The hon. Gentleman has asked me twice now, and the second time he did so particularly nicely. It goes without saying that I am delighted, honoured and flattered to be asked to visit that company in the hon. Gentleman’s constituency and see the work that it is doing, which has impressed him so much.
Those are some of the issues that we are considering under the creative industries growth review. Let me sum up briefly. First, I absolutely understand the hon. Gentleman’s concerns about Google. The EU anti-trust investigation reflects the widespread concerns, although Google operates in a competitive market and the Office of Fair Trading investigated the issue about 18 months ago. Secondly, I passionately believe that we need an open internet that is not overly regulated and that allows innovation and competition to develop. Thirdly, we are focused on our creative industries growth review, which we hope will produce a strategy for growth that will help young people in Northern Ireland, in the north-west and in the north-east, and that will help this country’s huge creative advantages.
BBC Funding (CSR)
Debate between Graham P Jones and Lord Vaizey of Didcot
Mr Vaizey
The BBC has already significantly slimmed down. Job losses or future jobs will be a matter for it. The debate has been suitably non-partisan. I hate to bring it down a level or two, but I am always pleased to hear from Opposition Members about their conversion to supporters of the BBC. For those of us who remember the previous Government hounding out the BBC’s chairman and director-general over the David Kelly and Andrew Gilligan affair, such conversions always ring ever so slightly hollow. That was the greatest crisis of BBC independence in living memory, so it is worth remembering that it is not always bad news with the Conservatives. Other Governments have behaved very badly indeed towards the BBC, in my view.
However, I want to put on the record this Government’s strong support for the BBC—a complete commitment to the independence of the corporation, which, as the hon. Member for Edinburgh South said, has formed the cornerstone not only of public service broadcasting in this country, but of the success of our creative industries. I never tire of pointing out that many of our successful independent production companies and, indeed, other companies in the creative industries are often filled with people who received their training from the BBC.
The BBC is not set in aspic; it remains a dynamic and forward-looking organisation. Not only is it one of the most respected broadcasters in the world, but it continues to innovate with the BBC iPlayer; YouView, a consortium in which the corporation is the cornerstone partner; BBC Worldwide, which has taken the BBC all around the globe; and even the pioneering archive and digital archive work being taken forward by Tony Ageh, which we all admire. We also fully respect, of course, the BBC’s editorial and operational independence.
Graham Jones
Does the Minister approve of BBC World Service television and its commercial success? Does he think that it should be expanded as a business, or that the service should be reduced because it is not what the BBC is about?
Mr Vaizey
BBC Worldwide, which has a superb chief executive in John Smith, who really has transformed that organisation, occasionally causes controversy in the House. Its business is to maximise the value of the BBC’s assets, and it does so very well, but we in the House and individual politicians take views, such as on the purchase of Lonely Planet, and, as I shall say at the end of my speech, the BBC Trust has made it clear that it wants the BBC to divest itself of its magazine business, because it is very important that it leaves room for commercial operators to make a living in the media. One of the great ironies is that the BBC is so successful that it can often easily squash its competition.
Mr Vaizey
I absolutely accept my hon. Friend’s point, and I congratulate him on his excellent work to try to secure the future of Dover port, working with Dame Vera Lynn, who broadcast her great songs that lifted the morale of British troops during the second world war via the BBC. I also pay tribute to the many successful media companies that operate in the United Kingdom.
The hon. Member for Edinburgh South was concerned about the speed of our negotiations. I was slightly surprised by that, because I read in his biography that he used to work for an organisation called 100mph Events. I thought that he was a man who felt the need for speed, but now he wants to be in the slow lane. A year-long negotiation of the licence fee would have taken the BBC’s eye off the ball in respect of running a successful media organisation, and there would have been a year of sniping from the BBC’s competitors, with people calling into question the licence fee and so on.
Graham Jones
The Minister and other Government Members have mentioned crowding out, but is it not the case that The Times and The Sunday Times have a paid-for service that is beginning to wipe its face? If the BBC were impinging on the profits of the online print industry, would The Times and The Sunday Times be able to wipe their face with that paid-for service? It seems to be quite successful, and there does not seem to be any evidence of crowding out. Does he accept that point?
Mr Vaizey
I suggest that the hon. Gentleman talks to those at The Guardian, as it is they who usually complain about the BBC crowding them out. The Guardian website remains free, and they claim that one of the difficulties they are finding with monetising its website is the presence of the BBC.
The agreed settlement that we reached with the BBC is a good deal for all parties that reflects the current economic environment. Most importantly, of course, it is an excellent deal for licence fee payers, delivering a freeze in cash terms in the £145.50 colour licence fee for the next six years. I was interested to hear the hon. Member for Livingston (Graeme Morrice) suggest that many of his constituents are writing in, wanting to pay more for the licence fee. I am not sure that that view is held nationwide.