(13 years, 1 month ago)
Commons ChamberI agree with my hon. Friend. He of course knows about this as a former journalist. Those at universities have been among the most enthusiastic people about local TV, not least at Birmingham City university, which has hosted two events on local TV in the past year. The reason is that they see this as an opportunity to found a new sector in the creative industries, which employ more than 50,000 people in the United States. That makes the opposition of the Labour party all the more extraordinary.
I agree with the hon. Gentleman that we need to look carefully at cross-media ownership laws. I agree with him as well that this needs to be done on a cross-media basis; it is not about the dominance of any individual platform any more. We also need to look at whether the merger rules for media takeovers work as effectively as they might. We will listen very carefully to the recommendations made by Lord Justice Leveson before taking action.
Let me say to the Secretary of State that I may have included the words “Ministers” and “waste of time” in the same sentence, but not in the context of local television. I appeared on Channel M, the example of my local TV station, but the project ended in tears because it was simply not viable.
Throughout the BSkyB process, the Secretary of State maintained that he could consider only plurality and that allegations about phone hacking and other illegal practices were not covered by the relevant legislation. Is he now willing to work with me and the right hon. Member for Bath (Mr Foster) to introduce amendments to the current legislation on an all-party basis to include a wider public interest test and to allow regulators to apply a “fit and proper person” test? That would close loopholes in advance of the longer-term reform of media ownership that will come as a result of Lord Justice Leveson’s recommendations. Is the Secretary of State willing to work with me and the right hon. Gentleman on an all-party basis to bring forward those amendments?
Of course I will listen to all representations made, but I do not think that the shadow Culture Secretary quite understands the way the law works. If the bid were re-presented, under the Enterprise Act 2002 it would count as a new bid and, as Secretary of State, I would have the power to refer it to Ofcom on the basis of broadcasting standards, media plurality or, indeed, national security, so safeguards exist. However, if what the hon. Gentleman is really trying to say is that Rupert Murdoch and his children are evil and must be stopped at all costs, just wait until he sees “The Godfather”.
I think the Secretary of State should speak for himself on those issues. It is absolutely clear that if there were to be a new bid, the only basis on which he could consider it would be plurality and broadcasting standards. He could not ask regulators to look at the wider public interest, nor could he insist that they apply a “fit and proper person” test. That is why we urgently need action now.
Let me turn quickly to a related issue. Can the Secretary of State clear up once and for all whether he discussed News Corp’s proposed acquisition of BSkyB with the Prime Minister at any stage during the quasi-judicial process? To be clear: I am not asking whether he consulted the Prime Minister on any decision that he had to make, but whether they discussed it during that period.
As I have told the shadow Culture Secretary, the decision was mine and mine alone, and I did not consult the Prime Minister about that decision. Not only that, but I consulted Ofcom and got independent advice, which I followed. However, let me say to the hon. Gentleman that he still does not appreciate that section 3 of the Communications Act 2003, which was passed by his Government, gives Ofcom the duty to ensure that all holders of broadcast licences are fit and proper at all times and the duty to remove them at any time, so these powers exist. We want to strengthen them in specific areas, and we are working hard to ensure that we make the right changes to avoid what happened before happening again.
(13 years, 3 months ago)
Commons ChamberToday the House has come together to speak with one voice, but we must also show some humility. In reality, there were only two or three hon. Members willing to pursue these issues over a long period. My hon. Friends the Members for West Bromwich East (Mr Watson) and for Rhondda (Chris Bryant) deserve our respect for their courage and relentless pursuit of the public interest. That is ultimately why we are elected to this place. We also heard a remarkable speech by my right hon. Friend the Member for Kirkcaldy and Cowdenbeath (Mr Brown), who not only provided sensational new information, but reminded us that this issue goes to the heart of the character of our country, or the good society, as he would say.
In truth, the public do not ask much of their public institutions or private corporations. They have a right to expect a free and responsible press, clean and competent police, politicians who speak up for the public interest without fear or favour and businesses that obey the law and have decent ethical standards. On all those counts they have reason today to ask, “Who can we trust?” In the aftermath of the global banking crisis and the MPs’ expenses crisis, there is an urgent need to answer that question. Today is our chance to make a start, but it is also a day for Mr Murdoch to reflect on the consequences of his company, which had no limits and a “story at all costs” culture that not only fuelled criminality, but offended every standard of decency. It is also a day for other newspapers to reflect on their level of involvement in illegal activities, because it is wrong that the reputation of the vast majority of journalists and editors is being undermined by the actions of a few. Remaining silent is no longer an option.
Given the outstanding serious allegations of criminality, the hacking of Milly Dowler’s phone and of the phones of relatives of 7/7 victims and brave soldiers who fought in Iraq and Afghanistan, the public would never have understood this deal being allowed to go ahead. From the beginning we have called for it to be referred to the Competition Commission for a full and independent inquiry, but I was told time and again by the Secretary of State for Culture, Olympics, Media and Sport that that was not necessary and, in recent days, not possible.
On that basis, does the hon. Gentleman think that I was wrong to follow the procedures laid down in the Enterprise Act 2002 and—the Act does not require this—to ask for and publish independent advice at every stage?
The right hon. Gentleman was wrong not to refer the matter to the Competition Commission and to rely on the good faith of a company that has been involved in this kind of activity.
What lessons have been learnt from this sorry episode? In matters of media ownership and mergers, politicians should never again fulfil a quasi-judicial role. Market share and power, and not simply plurality, must now be at the heart of the debate we are to have on the future. We welcome the fact that this will be part of an independent inquiry. A “fit and proper person” test should be applicable in all cases of serious failure of corporate governance. A new independent press regulatory system must reflect the new digital age and the rights of ordinary citizens more than the politician and the celebrity.
The Secretary of State must reflect on the judgments he has made, and I say to Government Members that the BBC may need reform, but its strength is absolutely central to the vitality of our democracy. We all know that the Conservative party has wanted to undermine the BBC at every opportunity. The Prime Minister described cuts to it as delicious, which demonstrates the kind of broadcasting environment they wanted to see in this country before these revelations changed for ever the course of how we make these decisions. Today is an historic day for this country. This House has asserted the public interest and finally made it clear, according to the values of my party, that no corporate interest can be allowed to write the law or break it.
(13 years, 4 months ago)
Commons ChamberThis is an issue about media plurality. I am not legally allowed to consider any other issues, but phone hacking is incredibly serious. The police are following their investigations and they must follow them wherever they lead. If the hon. Gentleman is not convinced by me, he should perhaps be convinced by his own Front-Bench team, as the shadow Culture Secretary has also said that the serious admissions of culpability by News International are not relevant to the News Corp’s BSkyB media plurality issue.
The Secretary of State promised a decision on this matter on 26 April—and we are still waiting. Does he understand why people have no confidence in the integrity of the process or his role in it when, instead of referral to the Competition Commission, he has taken the unprecedented step of personally overseeing negotiations covering the legal, contractual and financial arrangements involved in establishing Sky News as a standalone company? The Secretary of State tells us that he is currently taking lessons in how to be a football referee. I assume he understands that the referee’s job is to be neutral—not to help one of the teams bundle the ball over the line.
The shadow Culture Secretary cannot have it both ways. I was accused before of rushing the decision, so now I am taking as long as it takes because we want not a rushed decision, but the right decision. I am not personally overseeing the negotiations. It is being done by Ofcom and the Office of Fair Trading, and I am receiving independent written advice from them at every stage, which I have either published or will publish. When it comes to the question of dithering, when I made the announcement on 3 March on what I was minded to do, the shadow Culture Secretary said that after talking to relevant parties, he would announce whether he supported my decision or not. We are still waiting to hear whether he does.
Now that the Secretary of State has been forced to abandon “Hunt TV”—otherwise known as “a new national TV spine”—his plans for local television are in disarray. Does he agree that, given his ministerial responsibility for ITV and Channel 4, there would be serious ethical concerns if he attempted to solicit funding from them for his personal vanity project? Can he confirm that, in the midst of 16% cuts, the BBC will be required to spend £25 million of licence fee payers’ money on supporting local television only if it can be proved to be viable, sustainable and good value for money?
(13 years, 6 months ago)
Commons ChamberI know that the Arts Council carefully considered funding for Northumberland Theatre Company, and it will still have funding next year. It is worth noting that the Maltings centre in Berwick-upon-Tweed received a 300% increase in funding—the fourth largest funding increase; that the Berwick film and media arts festival will become a national portfolio organisation; and that Queen’s Hall Arts and Highlights, which tours in the area, will continue to receive funding.
May I begin by paying tribute to officials in the Department for Culture, Media and Sport, who have done so much to support the arrangements for tomorrow’s royal wedding, and to the thousands of public service workers, police officers, community support officers and emergency service people who will keep the streets safe so that the occasion can be joyous? Members from all parts of the House wish the royal couple a happy day. Of course, they were not responsible for aspects of the guest list in terms of the DCMS.
Like many arts activities, live theatre in rural communities faces a bleak future. Does the Minister regret the following statement made by the Secretary of State just before the election:
“People have had certain assumptions in the past about Conservative governments…that appeared to say public spending on the arts was something you might want to progressively reduce. That isn’t where the modern Conservative party stands.”?
Is the Secretary of State still in denial when hundreds of arts organisations have suffered cuts, some are going to the wall, others are increasing ticket prices at a time when people’s incomes are being squeezed, and many are scaling back their educational and outreach programmes to the most disadvantaged communities? Is not the modern Conservative party the same old Tories?
Perhaps I, too, may use this opportunity to thank officials in my Department for the hard work they have done on the royal wedding, and to wish Prince William of Wales and Catherine Middleton great joy on their day? I know that the Secretary of State is looking forward to attending the wedding tomorrow. It remains to be seen whether he will tweet throughout it.
I hear what the shadow Secretary of State says, but I do not regret what the Secretary of State said. We have achieved a fantastic settlement for the arts, with an 11% decrease only and a significant increase in lottery funding of 43%.
My hon. Friend makes a very important point, and that is exactly why it is important that the National Audit Office has full, unrestricted access to the BBC’s accounts, including the ability to examine its spending on the BBC World Service. I have a meeting with the incoming chairman of the BBC Trust on 9 May, and I will discuss that very point with him then.
Before the election, the Secretary of State said that it would be perverse for local television to receive public subsidy, yet he is forcing the BBC to provide £25 million of licence fee payers’ money to subsidise local TV. Does he not agree that it is perverse, at a time when he is promoting local TV, that the BBC is considering cutting local radio, which is so vibrant and so central to the heart of many of our communities? Can we try to achieve cross-party consensus and have a dialogue with the BBC about the importance of BBC local radio to many of our communities?
The question is about value for money and how the BBC spends the licence fee, and I am very confident that the agreement that I secured with the BBC last autumn will lead to efficiency savings and better use of licence fee payers’ money, but should not lead to reductions in core BBC services. I would be very concerned if any plans announced by the BBC were to lead to any such reductions.
(13 years, 8 months ago)
Commons ChamberI thank my hon. Friend not just for his question, but for his sustained interest in the importance of local television, particularly in Wales. I was especially pleased to learn that Tinopolis, a Welsh independent production company, had expressed interest in running a new local television network channel.
The answer to my hon. Friend’s question is that we must look at the spectrum that is available, and see whether we can find a way of attracting bids for it from a new generation of local television companies. I believe that the local television industry could become a brand-new successful, profitable, dynamic creative industry, creating thousands of jobs for this country.
I think that the Secretary of State is aware that “The King’s Speech” was funded by the Film Council, which he has just abolished.
As the Secretary of State has said, the creative industries are a great British success story: apart from financial services, they are the biggest driver of United Kingdom jobs and growth. He was bullish in serving up cuts to the Treasury. What leadership will he provide to produce a jobs and growth strategy for our creative industries?
First, let me correct something that the hon. Gentleman said. “The King’s Speech” was funded with lottery money. Thanks to the coalition Government’s lottery reforms, lottery money for the film industry will increase by 60% over the period of this Parliament. What we are questioning is whether that money should be distributed by a quango which pays eight people more than £100,000 and three people more than the Prime Minister.
Let me tell the hon. Gentleman about a few things that we have done. We have secured an additional £530 million to give Britain the best superfast broadband network in Europe. We have announced plans to make the Olympic park into a new east London tech hub. We have reduced corporation tax, and we have got rid of Labour’s jobs tax. All those things are vital to the creative and digital industries, many of which are small companies.
The Government have increased VAT, which is destroying our tourist industry. The Secretary of State is clearly living on a different planet. Broadband roll-out has been delayed. There has been no progress on the Digital Economy Act 2010. We have a broken promise on tax breaks for the video games industry. BBC cuts will have an impact on original content. All that is happening at a time when other countries are increasing their support for creative industries.
Will the Secretary of State show some leadership in two specific ways? We are willing to work with him if he will bring forward the new communications Act from 2015 to 2012 or 2013 at the latest; and will he establish a cross-Government taskforce, chaired at Cabinet level, to produce a jobs and growth plan in partnership with creative industries over the next 12 months?
Let me tell the hon. Gentleman the leadership I have been showing. His Government safeguarded £200 million for superfast broadband; we have increased that to £830 million. His Government had no strategy for the tourism industry; we persuaded the industry to contribute £50 million of match funding to draw an additional 2 million visitors to the UK. We are also working hard to implement the Digital Economy Act, as we think the principles behind it are important, but it is very difficult to implement because many of its measures did not get proper parliamentary scrutiny as the hon. Gentleman’s discredited Labour Government rushed it through Parliament in their final dying days.
(13 years, 9 months ago)
Commons ChamberI agree that impartiality at the BBC is paramount and that the particular comments to which my hon. Friend refers were totally inappropriate. I can understand why many people found them offensive. By way of reassurance, I say to him that in the selection process for the new chairman of the BBC Trust, which is responsible for impartiality, we have said that all candidates must show commitment to improving governance at the BBC. I hope that these issues will continue to be addressed.
The Secretary of State and I agree about the importance of the impartiality of the BBC. With the withdrawal of Sir Howard Davies from the shortlist for the chairmanship of the BBC Trust, there is growing speculation that the favourite is now the former chairman of the Conservative party. In those circumstances, it is particularly important that the appointment process is transparent. Will the Secretary of State therefore agree that the all-party Culture, Media and Sport Committee should scrutinise the two candidates referred to him by the appointment panel before he makes a recommendation to the Prime Minister?
Ministerial discretion is restricted to what is reasonable and fair in the eyes of the law. The process was set up in the Enterprise Act 2002 by the previous Government. It is incredibly important that due process is followed at every stage. We will publish exactly what we have done and whom we have met at every stage of the process when I make my decision, in order for Parliament to be able to scrutinise the process and ensure that it has been totally fair and impartial.
I am sure that the Secretary of State would accept that the Government’s handling of this quasi-judicial responsibility has been nothing short of a constitutional disgrace. The Business Secretary was stripped of his responsibilities because he
“declared war on Mr Murdoch”,
the Culture Secretary is on record as saying that he sees no problem with this particular deal, and the Prime Minister has now been found tucking into turkey in the middle of the process with the chief executive of News International. What breathtaking arrogance and contempt for their constitutional responsibilities!
Will the Secretary of State now tell the whole House whether he intends to meet any of the concerned parties before making a decision on this referral? Will he also release the Ofcom report—he has the ability to do so—in advance of making his decision, so that the House can be reassured that his judgment is impartial?
I remind the shadow Culture Secretary that when the right hon. Member for Edinburgh South West (Mr Darling) made the decision on the Sky ITV purchase he published the Ofcom report when he announced his decision, so I am doing nothing different to what he did. On the issue of impartiality, I say this:
“Rupert Murdoch”—
has
“been a force for good in improving the quality of broadcasting for British consumers”.
Those are not my words, but those of the shadow Culture Secretary. I wish that he would stop sucking up to the Murdochs.
(13 years, 11 months ago)
Commons ChamberMy hon. Friend makes an important point. In the settlement letter that we gave to all the national museums, which protected their funding to a much greater extent than was possible for many other parts of the public sector, we asked them to come forward with proposals through which they would mentor and help smaller arts organisations in the regions with their fundraising. We hope to announce progress on that front in the next few weeks.
The Department’s business plan states, intriguingly, that the Secretary of State’s philanthropy strategy will incorporate “insights from behavioural science”. Does he accept that if such a strategy is built solely on a nudge and a wink, or advice from a psychologist, it will be a damp squib in exactly the same way as a nudge and a wink, rather than the coalition’s promised tax break, is doing nothing to support the growth of the UK video games industry?
It is all very well for the hon. Gentleman to carp from the sidelines, but where are his proposals to boost philanthropy? Where are his proposals to help increase the money going to the front line? We are doing things to try to boost the amount of private giving to deal with the economic crisis that we inherited from his Government. He should help us, support us and contribute constructively. I am happy to nudge him to do so.
The money that we have secured from the licence fee settlement is for the part of the country that we believe the market will not satisfy—that is to say, approximately a third of homes including, I believe, homes in his constituency, where we think that left to its own, the market would not provide broadband. We have every confidence that we will have a solution that is not just 2 meg per home, as was the limit of the ambitions of the previous Government, but the best superfast broadband network in Europe.
I start by wishing the Secretary of State and Team England all the best with their mission this week to secure the 2018 World cup. On that, he and the Government will have our full support.
In relation to youth sport, the Secretary of State must come clean. He has overall responsibility for the future of sport in this country. He briefs the press that he is against the decision to dismantle support for school sport, yet on the record he is silent. Does he support the ending of all funding for the Youth Sport Trust and the dismantling of school sport partnerships—yes or no? Was he personally involved in the decision to transfer two questions on youth sport to the Department for Education so as to limit debate on the issue today? Does he accept that 95% of young people are participating in sport for two hours a week in schools, rather than the figure that he inaccurately quoted just a few moments ago and misled the House?
(14 years ago)
Commons ChamberThe licence fee is a curious system, but it has delivered outstanding results for British broadcasting. Most British people, when they go abroad, find that one of the things they miss is the BBC. One reason the BBC has been successful is that it has had sustained income through this rather curious system. That is why we have said that we are on the side of the public on this. We have given the BBC a tough settlement—freezing the licence fee for six years—under which we will continue with the structure of the licence fee as it is.
We will work with the Government on issues where we agree, such as the Olympic games and England’s World cup bid. The Secretary of State will agree that the BBC is one of this country’s great institutions and its future a matter of public interest. Of course, the BBC cannot be exempt from cuts at this difficult time, but may I ask the right hon. Gentleman how he can justify a negotiating process that rode roughshod over the independence of the BBC, crushed any serious prospect of reform and involved no consultation with licence fee payers or parliamentarians? Will he confirm that at one point in the negotiations the BBC Trust board considered mass resignation and that he now faces a judicial review sought by S4C? Is that not another example of the Secretary of State doing a dodgy deal for the Chancellor to further his own political ambitions, instead of providing responsible leadership on an issue of crucial importance to the future of this country?
May I start by welcoming the hon. Gentleman to his post? I am delighted to talk to him about the BBC because the new licence fee settlement was announced last Wednesday and the silence of the Opposition’s response has been absolutely deafening. They have not been able to work out what to do because we have agreed a settlement that is acceptable to the BBC and is very popular with the public. Let me tell him the difference between what happened when his party negotiated the licence fee and when we did it. With his party, it took two years, it cost £3 million and we ended up with an above-inflation rise. With us, it took two weeks, it cost nothing and we got a freeze for six years.