Online Safety Bill

Lord Black of Brentwood Excerpts

2nd reading
Wednesday 1st February 2023 Lords Chamber

[Lord Black of Brentwood (Con)]

My Lords, I declare my interests as deputy chairman of the Telegraph Media Group and director of the Regulatory Funding Company, and I note my other interests in the register.

I welcome the Bill as the first rung on the ladder, ensuring that the unregulated, untransparent and unaccountable platforms begin finally to be subject to the legal strictures of regulation, accountability and transparency. In 1931, Baldwin famously said the press exercised power without responsibility. Now, the press is subject to intense regulation and tough competition laws, and it is the platforms exercising power without responsibility. This vital Bill begins the journey to rectify that.

It was an honour to sit on the Joint Committee and a huge pleasure to work with colleagues from across the House under the exceptional chairmanship of Damian Collins. In particular, the noble Baroness, Lady Kidron, brought such insight and energy to our work. I believe that, as a result of its work, the Bill strikes an appropriate balance between platform regulation, freedom of expression and the protection of quality journalism.

I will make just two points about the policy backdrop to this legislation. While regulation is crucially important, it is just one side of the coin: it must go hand in hand with competition. What is vital is that legislation to deal with digital markets and consumer protection follows swiftly. It is time—to coin a phrase—to level up the playing field between platforms and publishers.

For years, news publishers have operated in a deeply dysfunctional digital market, hampering efforts to realise fair returns for their content. Local and regional publishers continue to be hardest hit. Platforms generate a huge portion of advertising revenue from news media content: figures calculated by Cambridge professor Matt Elliott estimate UK publishers generate £1 billion in UK revenues for Google, Facebook, Apple and others each year.

The news consumption trend from print to digital means digital markets must function in a fair and transparent way to secure the sustainability of quality journalism. Google has more than a 90% share of the £7.3 billion UK search advertising market. That means platforms take news content for free and the bulk of advertising, which would pay for it in the analogue world, at the same time.

I welcome the fact that the Government will bring forward legislation to deal with this by giving the Digital Markets Unit statutory powers and tough competition tools. It will be a world-leading digital regulator alongside this world first in online safety, paving the way for a sea change in how platforms operate and ensuring the sustainability of journalism.

As a new age of regulation dawns, I join my noble friend Lady Stowell in urging the Minister to ensure speedy implementation of changes that are the vital other side of the coin. The Joint Committee said in its report that this should happen as soon as possible. Indeed, these two pieces of legislation will feed off each other. As a joint report by the CMA and Ofcom concluded:

“Competition interventions can … improve online safety outcomes.”


My other point is the fluid nature of the legal ecosystem surrounding the platforms, which the noble Baroness, Lady Chakrabarti, mentioned. For almost 30 years the US tech giants have benefited from the protection of Section 230 of the Telecommunications Act of 1996. Passed while the internet was in its infancy, it provided platforms with safe harbours in which to operate as intermediaries of content without fear of being liable for it, which is why we now have the manifold, terrible problems of social media we have heard about today, which the Bill is rightly addressing. But times have changed, and that backbone of internet law is under intense scrutiny, above all from the US Supreme Court, which has for the first time in quarter of a century agreed to hear a case, Gonzalez v Google, challenging the immunity of companies that host user content online. The court’s decision will have a significant impact on the internet ecosystem, especially taken alongside anti-trust legal actions in the US and the EU. They are issues to which we will inevitably have to return.

The Bill—along with many other developments that will have a profound effect on competition, on regulation and on the protection of children—ushers in an era of radical change, but is, as we have heard a number of times today, only part of the journey. Let us now move forward swiftly to finish that job.