Channel 4 Privatisation

Debate between Nadine Dorries and Damian Collins

Tuesday 14th June 2022 Commons Chamber

[Ms Dorries]

The impression given is that Channel 4, as a result of being sold, will cease to exist. That is not the case. Those independent production companies are actually overloaded with work. We made more films in the UK in the last quarter of last year than were made in Hollywood. This whole sector of broadcasting and film making is booming. We are selling Channel 4 so that it can have more inward investment, not taxpayers’ money, and so that it can make more content, not less. The work will continue for independent production companies, not least from many of the companies that are coming into the UK to make films and television content, just as in Northern Ireland.

Our vision for Channel 4 is one where it continues to do all the things it does best, while being freed from the shackles that currently restrict it. I repeat: all the things it does best. That means it will continue to make diverse, interesting and edgy content with independent production companies, just as it does now.

The Opposition motion talks about protecting Channel 4’s PSB remit. Anyone who takes the time to look at our proposals will see that they pose no threat whatsoever to that PSB remit—Opposition Members talk as if there is. Under private ownership, Channel 4 will still be required to commission a minimum volume of programming from independent producers—I hope the hon. Member for Cardiff South and Penarth (Stephen Doughty) heard that—just as all other PSBs are required to do. Under private ownership, we will maintain Channel 4’s existing obligations for regional production outside London and England, just as all other PSBs are required to do. Under private ownership, Channel 4 will still be required to provide original, innovative and educational programming that represents the breadth of society, as well as primetime news and current affairs—again, just as all other PSBs are required to do. Under private ownership—that is the rub here, is it not? The words “private ownership” are the nub of it. Under private ownership, we would also have the freedom to unlock Channel 4’s full potential by removing the publisher-broadcaster restriction, which the Labour party seems to want to protect, but which is the very restriction preventing Channel 4 from achieving long-term financial security. What company pays 100% for content but does not own the content? There is no other company that would regard that as a successful business model. The restriction effectively prohibits the broadcaster from producing and selling its content, denying it a crucial way to make money.

I cannot imagine another company—I look for anyone in this House to reassure me—that would be able to survive by paying100% of the cost of the business while owning none of the product.

[Damian Collins (Folkestone and Hythe) (Con)]

In Channel 4’s own response to the Government’s “Up Next” White Paper, it proposed raising £1 billion in private money through a joint venture partner, and that the joint venture partner would retain intellectual property and programming. The idea that the status quo is sustainable is not one that Channel 4 shares, and even it has called for a radical reset of its role.

[Ms Dorries]

It is exactly as my hon. Friend has outlined. The hon. Member for Manchester Central asked me what Channel 4 said, and one of its responses was that it wants to raise money. It wants to invest and raise money. The state—[Interruption.] Channel 4 is state-owned. The state cannot own a public service broadcaster that takes on the risk of borrowing money. If that goes wrong, it is the taxpayer who has to pay that debt. We as a Government cannot burden the taxpayer with risk, potential debt and responsibility.

Removing the restriction will allow Channel 4 to do exactly what my hon. Friend the Member for Folkestone and Hythe (Damian Collins) says: to raise that revenue stream and improve its long-term sustainability. We can do all those things with a sale, while protecting all that makes Channel 4 unique. We are not looking for any old buyer for this broadcaster. We are looking for the right one—one who shares our ambition for the business and our belief in what makes it special. It is precisely because of what Channel 4 does, and how it does it, be that distinctive programming, news content or film, that we are confident that we will find the right buyer.

Unsurprisingly, though it is early days, there has already been a lot of initial interest from a wide range of potential bidders. When a sale is secured, it will not just benefit Channel 4; we intend to use the proceeds to benefit the entire country. As I said, Channel 4 was originally established to help boost independent production, and it has been successful in that mission—so successful, in fact, that we face a new and very positive challenge. Production studios across the country are booming. They are so in demand that we need more and more people to work in them. We therefore intend to funnel some of the proceeds of the sale into addressing that new challenge and giving people up and down the UK the skills and opportunity to fill those jobs, delivering a creative dividend for all.

As I have to keep reminding those who choose to ignore it, the sale of Channel 4 is just one crucial part of a much larger piece of broadcasting reform, and the question of Channel 4’s long-term sustainability is—[Interruption.] The accusation is being thrown at me from a sedentary position that I am going to get rid of the BBC. It is not good enough to invent accusations from the Front Bench. Commentary has to be based on what the Government are actually proposing and what is actually happening. [Interruption.] Okay, so we did freeze the licence fee—yes. In this environment, that is a cost of living saving. There is absolutely no way, in today’s environment, that we could go to the country and ask individuals to pay for an increase in the BBC’s licence take. I am absolutely amazed that Opposition Front Benchers think that would be an acceptable thing to do, when hard-pressed families are struggling to pay their bills—[Interruption.]

BBC Funding

Debate between Nadine Dorries and Damian Collins

Monday 17th January 2022 Commons Chamber

[Ms Dorries]

I will write to the right hon. Gentleman with those specific figures.

[Damian Collins (Folkestone and Hythe) (Con)]

Eleven years ago, the then director-general of the BBC said the corporation would have to do “fewer things better.” The current director-general has challenged the organisation to prioritise how it spends its money and maximises its commercial revenues. Does the Secretary of State agree that reform is necessary for the BBC to thrive in the digital age in both how it works and how it is funded?

[Ms Dorries]

We cannot ignore the fact that our digital landscape is transforming and advancing at a rapid pace, which has resulted in people, and especially the younger generation, changing their viewing habits. I would be accused of being a dinosaur if I stood here and said we should just let the BBC carry on as it is with this licence fee model. As my right hon. Friend the Member for Maldon (Mr Whittingdale) highlighted, 700,000 fewer people are paying the licence fee. We have to do something now to sustain the BBC and maintain this British beacon. We have to act now to ensure the BBC remains the BBC and is here for the future.

Oral Answers to Questions

Debate between Nadine Dorries and Damian Collins

Thursday 18th November 2021 Commons Chamber

[Ms Dorries]

I take this opportunity to thank the Digital, Culture, Media and Sport Committee for the work that it has undertaken, particularly gathering the evidence from Frances Haugen and others. We have taken a huge body of evidence. The Joint Committee is doing that very work at the moment. I am confident that every one of the examples that the hon. Gentleman has just highlighted will be legislated for in the regulatory framework, which will be given to Ofcom, to regulate those online platforms once the Bill becomes law. I appreciate his interest. I would also appreciate his input when the Bill passes through the House.

[Damian Collins (Folkestone and Hythe) (Con)]

Does the Secretary of State agree that the key principle of the online safety Bill should be that offences that exist offline should be applied online—not only to those who post content with the intent of harming others, but to the platforms that host such content—and that we need to have ongoing close parliamentary scrutiny of which offences should apply and how?

[Ms Dorries]

This is a novel and groundbreaking Bill that will legislate in a way that has never been done before, in a new sector and a new environment. Ongoing scrutiny on a regular basis once the Bill becomes an Act will be extremely important. We will look at how we are going to manage that within the Bill.