Creative Industries

Joe Robertson Excerpts

Monday 27th January 2025 Commons Chamber

[Chris Bryant]

My hon. Friend is absolutely right. Indeed, I have often wondered whether we should have a specific programme for her area, because she is right that there is a concentration of courses, universities and businesses devoted to those same industries. I would be happy to meet her, and perhaps if she would like to come into the Department, we could go through some of the specifics about how we will be assisting in her area.

[Joe Robertson (Isle of Wight East) (Con)]

The Minister makes the good point that creative industries need to be backed with finance that they can access. Will he ensure that grassroots, small-scale projects away from the big cities, such as on the Isle of Wight where my constituency is, receive the finance they need, so we can realise our aim and endeavour of getting a film studio set up?

[Chris Bryant]

I have heard tell of a film studio in the hon. Member’s constituency, so I wondered whether he was going to refer to that. Obviously, the previous Government and this Government have been committed in different ways to ensuring that we expand the provision of film studio space in the country. We are almost up to the level of having more space than Hollywood, and we are keen to progress that. Again, if he wants to come into the Department and talk about the specifics of what we might be able to do in his constituency, I would be happy to do that. He is right that sometimes we have focused on the massive projects, but we cannot get many massive projects in the creative industries without starting with the small and medium-sized businesses, and that is where we need to go.

One thing that has stood in the way of film studios for quite some time is the re-evaluation of business rates. I am glad that we have got to a much more sensible position over the past 12 months on the matter. Likewise, planning applications have been phenomenally difficult in many cases. We were proud to put £25 million into the Crown Works studio in Gateshead, which I look forward to visiting soon.

One of the principal barriers to innovation in 2025 is that not enough investment is going into research and development in the creative industries, and I know the Select Committee has looked at that. It is why the Prime Minister’s Council for Science and Technology recommended that

“Public investment in R&D in the creative industries should reflect the size, economic contribution, and future growth potential of the sector.”

That is why we confirmed earlier this month that we will strengthen the investment from our national research funding agency—UK Research and Innovation—into creative research and development.

Another part of the equation is, of course, tax relief. One of the great catalysts for the strong growth of our creative industries has been targeted tax reliefs for different sectors, introduced by both the Conservative Government and this Labour Government. We built on those reliefs in our first 100 days in government, with an enhanced independent film tax credit to support home-grown talent and UK co-productions and an enhanced tax relief for visual effects from the start of this year. That tax relief sends a clear message to our directors, visual effect artists and actors: “Be courageous, take risks and reap the rewards. Your Government are behind you.” I hope to be able to say more on film and high-end television at the Select Committee tomorrow morning—I am sure the Committee has some difficult questions for me.

On skills, education and the workforce, we want to see more good-quality creative jobs and more creative businesses popping up across the country. But too often what I hear from young people is that they could no more dream of getting those jobs than going to the moon. That is not just a tragic waste of human potential; it is bad business. That is why Steven Knight, the creator of “Peaky Blinders”, who is working to bring a film school to Birmingham, is recruiting and training 20% of the workforce from local postcodes, and I applaud him. It is essential for investors to know that they do not have to incur the cost of shipping people in to work on a project when that talent exists everywhere, but the opportunity does not.

That is why we made it a core priority in our manifesto to improve access to the arts and music as part of our opportunity mission. We wasted no time in getting that work under way, with the Education Secretary launching an expert-led independent curriculum and assessment review within a month of the general election. On top of that, we provided a further £3 million to expand the creative careers programme, so that we can broaden and diversify the talent pipeline in the creative industries.

Only by restoring culture’s place in the classroom and beyond will we be able to get young people ready for the creative jobs of tomorrow. We set up Skills England to work with employers and to help give us a coherent national picture of where skills gaps exist and how they can be addressed through further qualifications and technical education. In its first report, Skills England highlighted the importance of the creative industries for both current and future opportunity and growth.

We also need to ensure that there are opportunities in the workplace. We know that apprenticeships can be incredible springboards into creative careers, but that relies on there being a levy that works in the interests of employers and apprentices. For years before the general election, I heard repeatedly from the creative industries how difficult it was to use the apprenticeship levy in their industry. If someone is making a film, it might be a six, seven or eight-month project, which was not enough to meet the previous criteria for the apprenticeship levy. That is why I am really proud that we are working with Skills England to transform the apprenticeship levy into a new growth and skills levy, to create opportunities and provide greater flexibility for employers and apprenticeships. We plan to bring forward changes so that shorter apprenticeships are available from August 2025, recognising the particular needs of the creative industries. A 12-month apprenticeship is no good for employers who need skills for projects that are shorter than that. We are knocking down that needless hurdle.

For sectors such as music, the grassroots is always where it all begins. We are therefore not only continuing to support Arts Council England’s supporting grassroots music fund, but working up a 12-point plan for music—it says 10-point plan here, but when I looked at it this morning, it was already a 12-point plan. The truth of the matter is that music is a vital part of our lives, whether it is classical music, opera, pop music or heavy metal, which some people like—I see the former Secretary of State, the right hon. Member for Maldon (Sir John Whittingdale), nodding in a heavy metal sort of way; he has to be careful at his age, although I think he is younger than I am. The point is that we all have our different tastes in music, but we know how important it is to people’s enjoyment of life and to their being able to express themselves.

There is also nothing as important as being able to go to a live music event. One thing we are working very hard on—I made a statement about it earlier this year—is trying to make sure that the secondary ticket market, which has behaved in a frankly duplicitous and often parasitical way towards the music industry, is brought to heel and actually operates in the interests of fans.

I also want to talk about exports. We have some remarkable export strengths in the creative industries. Publishing achieved year-on-year growth and is now worth £11.6 billion to our economy, with export income accounting for almost 60% of its revenue. We are the largest book exporter in the world, and we should be proud of it. However, we need more success stories like publishing, and we need to make sure that the problems that publishing is having with exporting books—for instance, to the European Union—are overcome.

If we are to have such success stories, we need to fix some of the issues that the last Government unfortunately failed to address, such as touring. If we want the next generation of Ed Sheerans, Dua Lipas, Adeles and Stormzys to stand any chance of breaking into new markets, they must be able to perform overseas without having to navigate a maze of rules and regulations. That is why we are engaging with the EU and EU member states to find an answer that improves arrangements for touring across the European continent, without seeing a return to free movement.

That equally applies to the art market. Artworks are being brought to the UK to be sold in the UK art market, where they might command the highest price, but they are facing great difficulties entering the country. That is the kind of thing we also need to sort out.

--- Later in debate ---

[Joe Robertson (Isle of Wight East) (Con)]

I regret that I do not have the extensive music lyric knowledge of my hon. Friend the Member for Gosport (Dame Caroline Dinenage). Neither did I have a career in a rock band like the hon. Member for Wimbledon (Mr Kohler), who, from what he said, seems to have been single-handedly responsible for shutting down a favourite music venue. I have a constituency with a small but growing and thriving creative sector on the Isle of Wight. I am grateful to the Minister for taking my earlier intervention.

I will say something about my constituency in a moment, but I will briefly reflect on the national picture. Clearly, there is a consensus across the House that the creative sector is hugely important and needs continuing support from the Government. From 2010 to 2022, it was one of the fastest growing sectors in the UK economy, growing by 50%. I was encouraged by the Minister’s warm words from the Dispatch Box, but clearly support for the creative industries has to go further than warm words. I have no doubt that he is sincere about backing them up with action, but we cannot take that for granted. Neither can we ignore the damaging effects of decisions in the Budget. It was entirely right that the shadow Secretary of State, my right hon. Friend the Member for Daventry (Stuart Andrew), raised the negative impact of the increases to national insurance employer contributions on the creative sector.

We have rightly heard much in the last few months about the negative impact of national insurance contribution rises on businesses, large companies, and the health sector, and I will continue to make those arguments, but I worry that the negative impact on the creative industries has not fully been recognised. Other Opposition Members mentioned it. I hope that the Minister has done this already, but I urge him to ensure that the Treasury does something to compensate the creative industries for the money that this rise will take. He might distribute £60 million, but it will mean little if some, or most, of it is taken back by the Treasury in taxes.

The Isle of Wight is well known for lots of things, and is increasingly known as a location for films. That is helped by Osborne House, the former home of Her Majesty Queen Victoria. Films based on her life are often shot on location there, though I have to say that it is not in my constituency but the neighbouring constituency of Isle of Wight West. We have small creative organisations such as Ventnor Exchange, Monkton Arts, and Department in Ryde, which is due to open next month with money from the National Lottery Heritage Fund and the Department for Culture, Media and Sport. We also have historical buildings that are kept alive only by the creative industries that operate in and around them, such as Shanklin theatre, which could not survive without all the volunteer work that is done. In small and large towns across the country, fantastic buildings are kept alive only because of the creative industries that make use of them.

I thank the Minister for the offer of a meeting with him or his Department about a film studio on the Isle of Wight. Allow me to make a correction: sadly, the location for the film studio is in the neighbouring constituency of Isle of Wight West. I have already notified the hon. Member for Isle of Wight West (Mr Quigley) that he has received an offer of a meeting through me, which I am sure he will be delighted about. I would like to join him if I can be of assistance, because clearly it will benefit both constituencies on the Isle of Wight to realise that studio. The issue is that while micro-organisations benefit from pots of funding that are suitable for small-scale projects, and clearly national projects of national interest can access money, medium-sized projects such as rural film studios possibly struggle. I look forward to a conversation about that another time.