Tax Reliefs: Theatre, Orchestra and Museums and Galleries Exhibition

Debate between Lord Livermore and Lord Parkinson of Whitley Bay

Tuesday 15th October 2024 Lords Chamber

[Lord Parkinson of Whitley Bay]

To ask His Majesty’s Government whether they plan to maintain the current rates of Theatre Tax Relief, Orchestra Tax Relief, and Museums and Galleries Exhibition Tax Relief, as announced in the Budget on 6 March, beyond the current Spending Review period.

[The Financial Secretary to the Treasury (Lord Livermore) (Lab)]

My Lords, the Government are committed to supporting the creative industries, which play a key role in driving economic growth. As part of the Government’s industrial strategy, a creative industries sector plan will be developed, working with business, local leaders and sector experts. I am unable to comment on any specific taxes ahead of the Budget; any tax changes will be confirmed in the Budget on 30 October.

[Lord Parkinson of Whitley Bay (Con)]

My Lords, I understand that the Minister is limited in what he can say ahead of the Budget later this month, but the Government were willing last week to provide certainty for one part of our brilliant creative industries by confirming that they would continue the support we announced in March for independent film production. Does he acknowledge that brilliant organisations in theatres, orchestras, museums and galleries are already planning their programmes for 2026 and beyond, and need certainty too? If the Minister cannot give them that today, will he press that point on his colleagues at the Treasury and urge them to confirm the permanent uplift of the tax reliefs we announced in March, particularly in a week when the Government are enlisting the help of cultural icons to promote investment in the UK?

[Lord Livermore (Lab)]

I know that the noble Lord has genuine concern for, and a great deal of expertise and experience in, the arts and culture sector. As I said, the Government are committed to supporting the creative industries, and to creating good jobs and accelerating growth in film, music, gaming and the other creative sectors that the noble Lord mentioned. That is why we have ensured that the creative sector is a key part of our industrial strategy. As the noble Lord said, I cannot comment on any specific taxes, but he will know that the Government face a very challenging fiscal situation. He will know that the previous Government left a £22 billion black hole in the public finances, which they concealed from the public, Parliament and the OBR. Addressing that will involve very difficult decisions on spending, welfare and tax.