Independent Review of Destination Management Organisations: Government Response

Nigel Huddleston Excerpts
Wednesday 20th July 2022

(1 year, 9 months ago)

Written Statements
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Nigel Huddleston Portrait The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Nigel Huddleston)
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The Government are today publishing their formal response to the independent review of Destination Management Organisations (DMO) which was undertaken by Nick de Bois (Chair of the VisitEngland Advisory Board) and published in September 2021. The DMO review was commissioned in March 2021 by the then Secretary of State for Digital, Culture, Media and Sport, my right hon. Friend the Member for Hertsmere (Oliver Dowden), and myself as the current Minister for Sport, Tourism, Heritage and Civil Society.



The DMO review is an important component of the UK Government’s post-covid tourism recovery plan, which can be summarised as securing a swift recovery to pre-pandemic tourism volumes and visitor expenditure before building back better towards a more productive, innovative, resilient, sustainable and inclusive visitor economy, with the benefits of tourism spread across every nation and region of the UK.



England’s DMOs have an important role to play both in the recovery of the sector from covid-19 and achieving the Government’s Levelling Up objectives. Their role is not only to market and promote England’s unique, amazing and varied visitor offer, but also to work with local businesses as they recover, to attract new investment, and to help England deliver a more sustainable, data-driven, resilient and accessible industry. For this to happen, DMOs need to be at their best, and we need to address long-running concerns about the structure, funding models and fragmentation of England’s DMO landscape.



Mr de Bois was given the task of surveying the DMO landscape in England—tourism being a devolved responsibility within the UK. He was asked to evaluate the current system, with a view to making recommendations on whether there may be a more efficient and effective model for supporting English tourism at a local and regional level and delivering the government’s policy agenda.



Mr de Bois submitted his report last summer, and we published it in September 2021. This response addresses Mr de Bois’ recommendations and outlines the actions that are going to be taken forward in the current spending review. The DMO review made 12 recommendations in total, six of which are directed at the Government, four at DMOs themselves, and one each for local enterprise partnerships (LEPs) and local authorities. I am pleased to say that we will be accepting the majority of his recommendations.



A new accreditation system will be introduced over the 2022-23 financial year, with VisitEngland receiving new funding for implementation. By creating a new ‘national portfolio’ of accredited, high-performing Local Visitor Economy Partnerships we will reduce fragmentation and bring coherence to the current DMO landscape. It will make it clearer to public and private actors who to engage with in order to support the regional visitor economy—as well as to prospective visitors looking for information about English destinations. We are proposing to change the name of DMOs to Local Visitor Economy Partnerships (LVEPs), to capture the wider strategic focus on the visitor economy and the breadth of activity and relationships they will establish to support the local visitor economy.

The Government also commit to a pilot of Mr de Bois’ recommendation of a tiering model including multi-year core funding in a region of England. That will give one top tier LVEP, or collection of LVEPs—known as a Destination Development Partnership— a firm foundation to engage in a wide range of destination management type activities as well as prompt increased private sector investment. The response sets out the criteria upon which the Department for Digital, Culture, Media and Sport (DCMS) and VisitEngland will decide where the pilot is run.



A targeted pilot will ensure we support those areas with most potential to develop their visitor economies, help achieve the Government’s Levelling Up objectives and align with the devolution commitments set out in the Levelling Up White Paper. A pilot will allow the Government to collect evidence to understand how effective the proposed model can be, and to support any future funding considerations.



Up to £4.05 million—£1.35 million per year—has been allocated towards the DMO review implementation. The ambition is for a successful pilot to enable roll out of the multi-year funding nationally, however this is subject to future spending rounds and therefore, not guaranteed.



I will place a copy of the Government response in the Libraries of both Houses.

[HCWS243]

Listed Buildings Protection

Nigel Huddleston Excerpts
Tuesday 19th July 2022

(1 year, 9 months ago)

Westminster Hall
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Nigel Huddleston Portrait The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Nigel Huddleston)
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It is a pleasure to serve under your chairmanship, Mr Stringer. I thank my hon. Friend the Member for Blackpool North and Cleveleys (Paul Maynard) for securing this debate and for highlighting such an important issue. He spoke passionately about not only his own constituency but the heritage ecosystem. I am also particularly impressed that he spoke eloquently and passionately about my own constituency. He was right to highlight the issues and concerns.

I thank those who have participated in today’s debate, because we all care passionately about our nation’s heritage, for the very reasons that my hon. Friend has outlined. It is heartbreaking when parts of our history are wiped out because of ignorance or stupid decisions. I can assure him that I and the Department take our heritage responsibilities incredibly seriously, because we do not want to repeat the many mistakes of the past. However, we need to make sure that systems and processes are in place to minimise the chances of that happening, both at central and local government levels.

I recognise the rich heritage in my hon. Friend’s constituency of Blackpool North and Cleveleys. We spoke before the debate about how many sites are there and right next door. Blackpool is Britain’s favourite seaside resort for very good reasons and each year millions of visitors come to walk on its piers and beaches. The north pier, which is grade II listed and within the town conservation area, is just one of Blackpool’s iconic and much-loved structures. Many are listed, including the Winter Gardens and the Blackpool Tower, so my hon. Friend is right to be proud of the heritage in his constituency and nearby.

I start by setting out where we are on heritage protection, especially the process of listing buildings. My hon. Friend mentioned the strengths and some of the challenges and weaknesses. The listing process is a celebration of buildings of special architectural and historical interest. It plays a vital part in helping to safeguard the legacy of our built environment. Listing protects a diverse range of buildings in this country—nearly 380,000—from grand palaces to private houses. Any member of the public may apply for a building they consider to be potentially of special architectural or historic interest to be considered for listing. Applications come through Historic England, the Government’s heritage advisers, who assess the application and then make a recommendation to the Government. I note that my hon. Friend is very familiar with Historic England and has engaged with them in the past, as has the all-party parliamentary group for listed properties. I thank my hon. Friend the Member for South Thanet (Craig Mackinlay) for his contributions as well.

The final decision on listing then goes to the Secretary of State, often via myself as heritage Minister—the junior Minister in the Department. On average we get 1,000 applications each year, many from local planning authorities, amenity societies—such as the Twentieth Century Society, which my hon. Friend the Member for Blackpool North and Cleveleys is a member of—and individual members of the public. Most of the remainder originate from a strategic programme of listing properties from Historic England—it proactively tries to identify potential sites for listing.

All listing applications are considered; they are assessed in accordance with the polices set out in the Secretary of State’s “Principles of Selection for Listed Buildings”. If a building is deemed to satisfy those principles, it is listed and formally recognised as a heritage asset of national significance. The factors taken into account when assessing a building’s historical or architectural significance include its age, rarity and aesthetic appeal. It could also be considered significant due to its national interest. Thus it is the building itself, but also what happened in the building, that could be important. If there are relevant grounds for doing so, anyone can challenge a listing decision, requesting a review within 28 days of the decision’s being published.

I will respond directly to the point that my hon. Friend the Member for Blackpool North and Cleveleys made about the 30-year rule. It is not as hard and fast a rule as it may appear. The reason why buildings less than 30 years old are not normally considered to be of special architectural or historic interest is because we usually expect listing to stand the test of time—a phrase that my hon. Friend used. It is not a hard-and-fast rule, and some buildings are listed despite being of relatively recent construction, although it is usually one of outstanding quality or particular historic interest. There is a degree of discretion here.

Once a building is listed, it is a criminal offence to demolish it or carry out works, alterations or extensions that affect the special architectural or historic interest without having first obtained listed building consent from the relevant local planning authority—usually the local council. The protections in place to determine changes to listed properties are robust; local planning authorities are obliged to have regard to policies on conservation or enhancement of the historic environment, set out in the national planning policy framework. It is important to recognise that listing does not prevent a building from changing use, nor does it protect the businesses, large or small, that may operate from such buildings. New users can sometimes help sustain historic buildings for the future. Indeed, many of our historic buildings have changed purpose over, in some cases, many centuries and that has enabled them to survive.

On enforcement powers, while the current protections are robust, they can always be strengthened. That is something I pay particular attention to. The debate is timely given that the Government are currently taking through Parliament the Levelling Up and Regeneration Bill, which contains enhanced heritage protection measures. I will respond to the points made by my hon. Friend about that. There is a lot in the Bill, but I will give some highlights. The Bill will make it simpler for local planning authorities to step in and protect at-risk heritage assets through the use of new temporary stop notices for listed buildings. The Bill also strengthens urgent works powers, where urgent works notices can be served reasonably to a building that is in occupation. Previously, it was parts of the building not in use, as opposed to the whole building. The Bill includes the removal of compensation in relation to building preservation notices, which will encourage local authorities to serve those building preservation notices more effectively.

On interim protection, which my hon. Friend also mentioned, my Department already has a mechanism to step in where a building is deemed to be at risk. An emergency listing can happen at pace if the building is at risk of demolition or alteration. Building preservation notices can be served on such buildings for a period of up to six months to preserve them in their current state. Blanket interim protection for all buildings that are assessed for listing is an extreme measure, and we deem it to be an unbalanced approach for owners and developers. Providing interim protection for all buildings that are put forward for applications would potentially delay the planning system process, and we believe that our measures are a more balanced approach.

On the diversity of buildings on the list, many listed buildings are the result of strategic designation projects. In general, the list has grown organically over the years in response to individual applications—often in response to threats posed to particular buildings. Consequently, it is recognised that some types of buildings and some periods are better represented on the list than others.

With Historic England, we recognise that there may therefore be an under-representation of early 20th-century buildings, as my hon. Friend identified. Of course, an under-representation is to be expected, given that the 20th century ended only a short while back, and therefore the public tend to be divided on some of the buildings from that era. I can reassure him that many of the proposals that come across my desk tend to be more modern buildings, ranging from brutalist architecture, on which opinion is divided in this House and in the country, to Palladian mansions and so on. Most of the very historic buildings are already listed and have been for some time, and therefore it is not surprising that the bulk of the new listings that come across my desk are more modern, so I see quite a lot of the proposals.

My hon. Friend and my hon. Friend the Member for South Thanet mentioned local listings. Locally important heritage buildings, of course, really do shape our sense of character and distinctiveness—the sense of place that they mentioned. Local planning authorities can formally identify such buildings through the compilation of local heritage lists, which, prepared with input from local communities, complement the national listing and can ensure that due regard is given to the conservation of buildings included on them in relevant planning decisions. The significance of locally listed buildings can be further highlighted through their inclusion in the relevant local historic environment records.

The Government are looking to place historic environment records on a statutory footing through the Levelling-up and Regeneration Bill, and that will hopefully overcome some of the inconsistencies that my hon. Friends mentioned. They are right to mention the inconsistency of the resources and the attention paid to our historic buildings. I see that as I travel around the country, but generally I am very impressed by the attention that most local authorities pay to their heritage assets.

I thank my hon. Friend the Member for Blackpool North and Cleveleys for securing this important debate. As heritage Minister, I think it is right and important to highlight the Government’s policy for listing and protecting our most loved heritage assets across the country. I have taken on board the points raised by my hon. Friend and others, and I hope I have been able to provide some reassurance that the Government intend to strengthen heritage protection in the planning system through the Levelling-up and Regeneration Bill. I hope that my hon. Friend will support our efforts in doing so.

Oliver Heald Portrait Sir Oliver Heald (North East Hertfordshire) (Con)
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My hon. Friend the Member for Blackpool North and Cleveleys (Paul Maynard), in his excellent speech, mentioned cricket ball manufacture. Does the Minister find it encouraging that the original cricket ball manufacturing factory in Penshurst for the Duke ball is, in fact, listed?

Nigel Huddleston Portrait Nigel Huddleston
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I am very pleased indeed that it is, and I am very pleased that my right hon. and learned Friend mentioned that in the final moments of the debate. I am also Sports Minister, and we could not have a debate without including some element of sport in the discussion.

I am certainly open to having a debate about intellectual assets. At the moment, we have some reservations about what can be included, because it is not clear how far it goes, but there is some merit in looking at such things. Our heritage assets are not just buildings; they also include the countryside. UNESCO listings are increasingly landscapes, not just old buildings and areas. As we progress this debate, options including intellectual property are worthy of discussion. I thank my hon. Friends for their contributions.

Question put and agreed to.

150th Open Championship

Nigel Huddleston Excerpts
Wednesday 13th July 2022

(1 year, 9 months ago)

Westminster Hall
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Nigel Huddleston Portrait The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Nigel Huddleston)
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It is a pleasure to serve under your chairmanship again, Mr Hollobone, particularly in these rather pleasant surroundings, it being rather cooler in the Chamber than outside.

I congratulate the hon. Member for North East Fife (Wendy Chamberlain) on securing the debate and on her compelling, passionate contribution. I learned quite a lot from it. She is sincerely passionate about golf, and it was fascinating to hear how an Act of Parliament requires her to be so. That part of history shows, as she said, how closely linked golf is to her local community.

I also thank the hon. Member for Wirral West (Margaret Greenwood) and my Front-Bench colleagues, the hon. Members for Paisley and Renfrewshire North (Gavin Newlands) and for Manchester, Withington (Jeff Smith), for their contributions. As is often the case with sport, I think that there will be a fair degree of agreement and consensus.

I am aware of the huge interest in golf. There has rightly been recognition of the value that it brings far and wide across the United Kingdom. From the grassroots right the way up to elite competition, the sport’s impact on local communities should not be underestimated. It has a social impact, an impact on physical and mental health and, as we have heard—I will come to this—a considerable economic impact. We talked about some of that before the debate—in particular how golf’s impact is disproportionately large in Scotland, and how the sport is widely recognised and respected.

I congratulate the hon. Member for North East Fife on her commitment to drive the conversations forward in many areas as a vice-chair of the all-party parliamentary groups for golf and for hospitality and tourism. We should acknowledge that those are active APPGs with many members, and that certain other activities and events taking place today may mean that colleagues who wanted to contribute to the debate are otherwise engaged.

This is a really timely moment, on the eve of the event’s 150th anniversary, to reflect on the noteworthy contribution of the world-renowned Open championship. I am thrilled that this year the Open is returning to St Andrews—it is, as was said many times, the home of golf—in the hon. Member’s constituency.

Golf has a long heritage in this country. with the Open championship first played in 1860 at Prestwick in Scotland, predating many other major sporting events that make up the British sporting calendar. The first FA cup final did not kick off until 1872, and it was not until 1877 that we had the first tennis at Wimbledon—at a different location from the current tournament, which had its 100th anniversary just last week.

The Open is golf’s oldest championship and the original of the four majors. It is only right that on the occasion of the 150th Open championship we will see the largest event in its long history, with a record-breaking 290,000 fans due to attend the world-renowned Old Course. I am extremely excited to see crowds return in all their glory after such a difficult period for spectator sport.

Last year’s championship was a brilliant success. At the other end of the country, the organising committee did a truly fantastic job to co-ordinate the tournament safely as part of the Government’s events research programme. That enabled 32,000 golf enthusiasts to attend each day of the four-day event, and I was fortunate enough to see one of them. I reiterate my congratulations on the delivery of last year’s Open at Royal St George’s with such professionalism and sensitivity as the country continued to navigate the challenges of the pandemic.

As the hon. Member for Paisley and Renfrewshire North mentioned, golf did a fantastic job of engaging with Government and stakeholders, taking its responsibilities, in order to reopen safely. In the process, it managed to attract many new golf enthusiasts, many of whom have stayed with it. It has done a good job of recovering from the pandemic. Importantly, that has contributed not only to economic activity, but to people’s physical and mental health. The many benefits of golf that we all recognise are now known more widely than ever.

This historic anniversary has clearly created a renewed excitement and unprecedented demand among golf fans wishing to attend the Open championship, resulting in the highest ever number of general admission tickets being issued. We will certainly have quite an atmosphere at the Open over the next few days.

The Open follows the excitement of last week’s Genesis Scottish Open, where Xander Schauffele survived a nail-biting final round scare in East Lothian, winning the tournament with a one-shot victory. It was another fantastic sporting occasion on British soil. Another brilliant couple of golfing events will take place this summer, which I am looking forward to, with the women’s Open next month, hosted by Muirfield, and the PGA Championship in September, at the Wentworth Club in Surrey.

I applaud golf the game, as the hon. Member for North East Fife and all contributors have done, for the progress and investment made in ensuring that golf is inclusive and accessible for all, in particular the progress with women’s golf and disability golf. That is really important and is supported by the whole House.

Jim Shannon Portrait Jim Shannon (Strangford) (DUP)
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First, I apologise for being late for the debate, Mr Hollobone—when the planes are delayed, it is beyond my control. Hon. Members will be able to tell from the sweat on my brow that it was quite frantic to get here. I apologise to everyone, including the Minister, and especially to the hon. Member for North East Fife (Wendy Chamberlain), who I wanted to support.

The Minister is outlining the case for golf across in Scotland, which I fully support, but I am ever mindful of golf across all the regions of the United Kingdom of Great Britain and Northern Ireland. It is really good in Northern Ireland as well. My council, Ards and North Down Borough Council, sponsored the PGA EuroPro Tour just last year. It was a wonderful occasion to highlight our council’s area. Across Northern Ireland we have some of the most fantastic gold tournaments, which promote Northern Ireland within the United Kingdom of Great Britain and Northern Ireland. I am sure that the hon. Member for North East Fife has talked about the benefits of golf a thousand times, but I endorse and support that, and put in a plug for us in Northern Ireland. We have some star players, including Rory McIlroy—he is the star who goes above and beyond—among many others. I just wanted to make that point, and apologies again for not being here in time for the start of the debate.

Nigel Huddleston Portrait Nigel Huddleston
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I was wondering when Rory McIlroy would be mentioned. We missed the hon. Gentleman earlier; if he reads Hansard, he will see that he was mentioned. He is absolutely right about golf’s contribution, which is what I will come on to now.

Golf has huge economic impact and importance across the UK, which is disproportionately large in the devolved areas because of the additional contribution of sport and its knock-on impact on tourism. The hon. Member for Strangford (Jim Shannon) is right to highlight that importance. He mentioned the advocacy and support of councils, which was also mentioned by the hon. Member for Paisley and Renfrewshire North, as well as the importance of golf at an appropriate price point. It is not a sport for posh people; it is genuinely a sport for all. I applaud many of the public and low-cost provisions in golf, which ensure it is accessible to many people.

Many local authorities and other institutions across the country are genuinely trying to make an effort to ensure that everyone can participate, no matter their income level. That is important for golf, because the sport recognises the perception that it is a bit posh, even though, looking at the demographics of the people who play golf, that is absolutely not the case. Again, I applaud the APPG for its work trying to get this point across. We all want golf, and all sport, to be for everybody.

Gavin Newlands Portrait Gavin Newlands
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Just to correct the record, and on the point the Minister is making about affordability, I said that the price for a round of golf at Royal Barshaw, as we call it, in Paisley is £10. It is £10, but it is £5 for those who are unemployed, for children and for the over-65s. That is £5 for a round of golf, which shows that it can be affordable.

Nigel Huddleston Portrait Nigel Huddleston
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I thank the hon. Gentleman for that intervention, which again makes the point about the creativity and effort being made to ensure that golf is truly inclusive, which I applaud.

I will spend a little more time highlighting the valuable contribution that golf makes to the UK tourism sector, alongside sport overall. The sporting calendar is one of this country’s many tourism assets. Our sporting events not only act as a springboard for promoting the UK at home and abroad, allowing us to celebrate the diverse range of destinations across the country that we have to offer, but also serve as a catalyst for the wider sports economy. Every year more than 2 million visitors attend a live sporting event as part of their trip to the UK. In 2019, the last year for which complete figures are available, 61,000 of those visitors watched a live golf event during their stay, spending a total of £129 million. That is export revenue from inbound tourism. They stay longer than any other sports fan—an average of 16 nights per visit.

Visitors come not just to watch live golf at prestigious events such as the Open, but to play it. In 2019, more than 360,000 people embarked on a journey to the UK to play golf in some of our nation’s most scenic destinations. Those inbound visitors spent £525 million—a huge amount for local businesses and communities.

Golf continues to be an incredibly popular sport to play domestically across the UK, with 3,000 golf clubs on offer. Two new participation reports show that 5.3 million on-course adult golfers enjoyed playing on full-length courses in Great Britain and Ireland in 2021. That is the second highest number since monitoring began more than 30 years ago.

An independent forecast by the Sports Industry Research Centre, commissioned by the R&A, VisitScotland and Fife Council, indicated that the total economic impact of staging the 150th Open at St Andrews, with 290,000 fans in attendance, will reach £100 million or more. There is added value to be gained from broadcasting and digital marketing, and an estimated £100 million to St Andrews and Scotland as a result of the significant and ever increasing global media exposure. That increases the forecast total economic benefit of this year’s Open alone to more than £200 million, for the first time in history. That is a truly remarkable figure.

Jim Shannon Portrait Jim Shannon
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I am ever mindful that men might sometimes feel that they can play golf better than ladies. But about a month ago the Swedish golfer Linn Grant beat the gentlemen in a final. Does the Minister agree that that is an example of how golf equalises everyone? They are all on the same page. It is good to see ladies excel and beat men on many occasions—or all the time, probably. In golf, they do it well.

Nigel Huddleston Portrait Nigel Huddleston
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The hon. Gentleman, as always, makes an important point that I dare not disagree with. He is absolutely right. It is important that we showcase, support and encourage our women golfers and disability sports. We need them on television, too, because that inspires people to take part, and for those participating at elite level it is important for getting sponsorship and other support. I encourage broadcasters to seek opportunities to showcase golf on television as broadly as possible, because that will have an impact.

The legacy of these games is huge. The economic impact, which we just talked about, is important, but some people could be watching these golf events for the first time, get inspired and be sports stars of the future. I am always proud to reflect on the success and outreach of the many sporting events that we host in the UK. Whether the upcoming Birmingham 2022 Commonwealth games, the ongoing women’s Euros or the Open championship, sport has the power to unit, inspire and generate a better future for the nation. The positive contribution of golf to not only the UK economy but UK society as a whole is clear and emphatic, as we have discussed. I am excited to see the sport continue to grow in popularity and impact across its grassroots foundation and the elite fanbase.

The hon. Member for Manchester, Withington made the important point about the economic contribution of sport, particularly to help the recovery of the tourism sector. I gently remind him, though, that the tourism, hospitality and leisure sector was not neglected during the recovery. In fact, £37 billion of Government support was provided to the sector as part of the recovery, and it is bounding back very strongly.

A couple of Members mentioned the impact of the train strikes that we are unfortunately facing at the moment. All the politics aside, if an event is impacted by train or other strikes, it is important that people plan ahead, because they could be inconvenienced. However, I am pleased to say that at the Open, and indeed as we saw a couple of weeks ago with Glastonbury, the organisers are trying to communicate the challenges, encourage people to plan ahead, and put alternative measures in place, including park and ride, additional bus services, earlier or later trains, where possible, and so on. Again, with good communication, some of the challenges can be overcome.

However, I also appeal to all stakeholders, including the unions: please do not target sport; please ensure that people who have been planning these events, in many cases for years, can go ahead and deliver them as effectively and efficiently as possible. For the hundreds of thousands of people who are looking forward to sporting and music events and so on over the next few months—particularly as we recover from the pandemic—it is important that those go ahead and they can enjoy them.

Of course, if there is an impact, alternative plans and mitigation measures are being put in place by organisers. However, it is important that we do everything we can to enable the recovery of our sporting and tourism economies. Everybody has sympathy for the cost of living challenges that many people face, but there is a way to do things, and deliberately targeting events that people have been looking forward to may well not achieve the public support that is perhaps hoped for. I respectfully appeal to all stakeholders to work together so that we can overcome the challenges.

Our trains, in particular, are a really important part of the overall sports ecosystem. Many people going to sporting events rely on the trains. Similarly, tourism right across the country—for both domestic and inbound travel—relies heavily on trains. I think that we all want to ensure that people have long-term confidence in using our train services, and that trains can play their important role in the overall economic recovery. We understand the circumstances and the cost of living challenges, but let us all be sensible about how we achieve our goals.

I once again say a huge thank you to everybody who has contributed to this incredibly timely debate. I thank the hon. Member for North East Fife for securing it. I now look ahead to what I know will be a captivating few days of true golfing excellence at this historic 150th anniversary.

Oral Answers to Questions

Nigel Huddleston Excerpts
Thursday 7th July 2022

(1 year, 9 months ago)

Commons Chamber
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Liz Twist Portrait Liz Twist (Blaydon) (Lab)
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10. What assessment her Department has made of the impact of increases in the cost of living on charitable giving.

Nigel Huddleston Portrait The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Nigel Huddleston)
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We understand that the pressures people are facing mean that some will not be able to give as much to charity as they have done in the past. However, while recent reports show a drop, average donations remain higher than pre covid, and total donations for the first quarter of 2022 look to be the highest since 2017, although this is due in large part to the incredible generosity of the British people in giving over £300 million towards the Ukrainian humanitarian appeal. I will continue to work closely with the sector on this important issue.

Emma Lewell-Buck Portrait Mrs Lewell-Buck
- Hansard - - - Excerpts

I thank the Minister for that response, but he just does not get it, does he? Thanks to this Government’s cruel policies, food banks are now embedded in our welfare state. As the cost of living crisis intensifies, we are running out of food donations and people are going hungry. It is an abdication of the Government’s duty to leave charities to fill gaps left by the state, so when will whoever is left in the Government start doing their job?

Nigel Huddleston Portrait Nigel Huddleston
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I gently remind the hon. Lady that the Opposition do not have a monopoly on sympathy and understanding. We completely understand the pressures that people are facing with the cost of living and have taken action to support families. That is why the Government are providing over £15 billion in further support targeted particularly at those with the greatest need. That is in addition to over £22 billion announced previously. Government support on the cost of living now totals £37 billion this year.

Liz Twist Portrait Liz Twist
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I associate myself with the remarks by my hon. Friend the Member for South Shields (Mrs Lewell-Buck). That is the experience in my constituency too—food banks are suffering. Research by the Charities Aid Foundation found that 82% of charities are worried about how they are going to pay their utility bills, and many of them worry that they will not survive the crisis. What action are the Government taking to help our valuable charities to stay afloat?

Nigel Huddleston Portrait Nigel Huddleston
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During the pandemic, we showed how important charities were, with more than £750 million for the charity scheme. That showed that we needed them to survive, because they play such an important role in our society. I will continue to engage with charities and make representations to other parts of Government. We recognise the important role they play, but also we need to help families directly, which will then reduce the burden on the charities.

Lindsay Hoyle Portrait Mr Speaker
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We now come to the shadow Minister, Barbara Keeley.

Barbara Keeley Portrait Barbara Keeley (Worsley and Eccles South) (Lab)
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Charities are indeed working harder than ever to support people through this cost of living crisis. They are delivering food to older people, supporting people with the stresses of poverty and working tirelessly to advocate for vulnerable people, yet charities are suffering from a big hit to their income as their running costs spiral and demand for their services rockets. I cannot find any mention that the Secretary of State has made of charities since she was appointed last year. Will the Minister admit that charities have not been a priority for this Government, and when will they take the steps to support the sector to deal with this perfect storm of pressures?

Nigel Huddleston Portrait Nigel Huddleston
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The hon. Lady is completely wrong. The Secretary of State and I talk about and to charities all the time—constantly. What she said goes against the facts. As I just outlined, there was £750 million in charity support during the pandemic, which was a specific recognition of the key role that they play.

Gerald Jones Portrait Gerald Jones (Merthyr Tydfil and Rhymney) (Lab)
- Hansard - - - Excerpts

3. When she plans to publish the gambling review white paper.

Owen Thompson Portrait Owen Thompson (Midlothian) (SNP)
- Hansard - - - Excerpts

7. What her time- scale is for publishing a gambling review white paper.

Nigel Huddleston Portrait The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Nigel Huddleston)
- Hansard - -

I know that both Members have taken an active involvement in this issue and, like all the House, are looking forward to seeing the outcomes of our Gambling Act 2005 review. It remains a priority for the Department, and we will publish a White Paper setting out conclusions and a vision for the sector in the coming weeks.

Gerald Jones Portrait Gerald Jones
- Hansard - - - Excerpts

We know that the Department has considered gambling-related harm to be a public health issue and preventing harm is an essential objective of gambling regulations, so may I gently press the Minister to confirm whether key public health-based reforms, such as a smart statutory levy, the introduction of online stake limits, an effective affordability assessment and controls on gambling advertising, will be included in the forthcoming White Paper?

Nigel Huddleston Portrait Nigel Huddleston
- Hansard - -

I know how passionately and seriously the hon. Gentleman takes this issue, as do we on this side of the Chamber. That is why the review was comprehensive and covered many, if not all, of those areas that he mentioned. I ask him to be slightly patient, because we will be responding to the review in due course.

Owen Thompson Portrait Owen Thompson
- Hansard - - - Excerpts

Many countries are ahead of the UK in regulating loot boxes and video games and require games to display the odds of receiving certain loot in the box items. It is essential to ensure that we are not subjecting players to blind gambling, yet Diablo Immortal’s “rift” feature finds a loophole apparently in this, and is essentially a loot box that is contingent on skill-based gameplay. The skill-based element means it is not technically gambling and does not have to display odds, but it is a loot box. Will the Minister commit to exploring in the gambling review how to close that loophole, and will the Department meet with the game developer Blizzard to discuss how to close the loophole in Diablo Immortal?

Nigel Huddleston Portrait Nigel Huddleston
- Hansard - -

Again, this is a topic that has consumed the attention of the whole House. The gambling review was looked at separately from the specific issue of loot boxes, where we recognise there are also issues and concerns, and we have been conducting a review. I reassure the hon. Gentleman that protecting children, both on loot boxes and in the gambling review, is front and centre of our thoughts.

Caroline Nokes Portrait Caroline Nokes (Romsey and Southampton North) (Con)
- Hansard - - - Excerpts

It is not just children who can be impacted by loot boxes and other gambling mechanics; it is also people with other vulnerabilities. It is critical that the Government take effective steps to close loopholes, and do not just bake in the problem for ever more creative tech companies to exploit.

Nigel Huddleston Portrait Nigel Huddleston
- Hansard - -

My right hon. Friend makes an important point about ensuring that the review we conduct and the conclusions that come out of it are comprehensive, but it is important, as technology evolves and changes, and becomes ever more sophisticated—as it does, particularly in the online gambling and gaming space—that we keep a close eye on developments, and we will be doing that going forward.

Justin Tomlinson Portrait Justin Tomlinson (North Swindon) (Con)
- Hansard - - - Excerpts

I thank the ministerial team for their continued good work. Specifically on fixed odds betting terminals, would it not be a pragmatic and sensible consideration to display the average return rate for five seconds at the beginning of play, so that users can make an informed decision to weigh up enjoyment against the likely returns?

Nigel Huddleston Portrait Nigel Huddleston
- Hansard - -

My hon. Friend makes an important point. The White Paper will be looking at those issues, and the Gambling Commission of course looks at those kind of issues on an ongoing basis. He raises important points about targeting, in particular of the most vulnerable in society, and it is something of which we are very aware.

Carolyn Harris Portrait Carolyn Harris (Swansea East) (Lab)
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One could be forgiven for failing to notice a news article yesterday regarding No. 10 policy advisers who have links to gambling companies. It would be unforgiveable, however, if either of those advisers had attempted to influence the White Paper in a way that could be considered to favour the industry. Can the Minister assure the House that that is not the case?

Nigel Huddleston Portrait Nigel Huddleston
- Hansard - -

I appreciate the hon. Lady’s passion and commitment on the subject; we have had many conversations. She will be aware that we have engaged extensively with stakeholders in the course of the gambling review.

Laurence Robertson Portrait Mr Laurence Robertson (Tewkesbury) (Con)
- Hansard - - - Excerpts

When the Government publish the White Paper, which I very much look forward to, will they ensure that it makes it clear who will be responsible for the issue of affordability—the Government or the Gambling Commission?

Nigel Huddleston Portrait Nigel Huddleston
- Hansard - -

Again, I cannot pre-empt the conclusions of the review, but my hon. Friend makes an important point. The Secretary of State in particular is aware of that and we will be communicating more in due course. Affordability is an important point.

Lindsay Hoyle Portrait Mr Speaker
- Hansard - - - Excerpts

I call the shadow Secretary of State.

Lucy Powell Portrait Lucy Powell (Manchester Central) (Lab/Co-op)
- Hansard - - - Excerpts

I am not at all surprised to see the Secretary of State still in her place; I had no doubt that she would be the last woman standing in support of the Prime Minister while all around her collapses, including her ministerial team. I wondered whether, by this morning, she would hold not only all the ministerial offices in her Department but several other Cabinet posts as well.

For many months, we have heard that the gambling White Paper is imminent. It has still not been published, although its content has again been trailed to the news- papers. Apparently, Ministers are dropping the gambling levy, which has widespread support, and other measures that would bring the analogue gambling regulation into the digital age. Is that true?

Lucy Powell Portrait Lucy Powell
- Hansard - - - Excerpts

Well, we now know from the former gambling Minister, the hon. Member for Croydon South (Chris Philp), that the White Paper is with No. 10 for sign-off—good luck with that. We have also been promised the media Bill, a White Paper on football regulation, a review of women’s football, a review on the future funding of the BBC, and a data Bill—all before the summer recess. How is that going? The truth is that we have chaos, paralysis and a total collapse of Government, with huge swathes of vacant ministerial posts and parliamentary business on hold. Is it not the reality that not just the Prime Minister has lost the country’s trust, but the entire Conservative party?

Lindsay Hoyle Portrait Mr Speaker
- Hansard - - - Excerpts

This is about the gambling review, and the question should be about that. The Minister should answer on the gambling review.

Nigel Huddleston Portrait Nigel Huddleston
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I hope the hon. Lady will wait to respond to the gambling review. I appreciate her giving a comprehensive list of all the policy areas and manifesto commitments on which the Government are committed to delivering. She could have gone further and mentioned safe standing, the delivery of the Commonwealth games, which start in three weeks’ time, or the Euros—well done to the Lionesses for last night. I thank her for giving a list of the Government’s achievements.

Lindsay Hoyle Portrait Mr Speaker
- Hansard - - - Excerpts

I also do not want the Minister to wander off topic. Let us go to someone who will put us back on track—John Nicolson, the SNP spokesperson.

John Nicolson Portrait John Nicolson (Ochil and South Perthshire) (SNP)
- Hansard - - - Excerpts

In what could be our last exchange across the Dispatch Box, I recognise that the Secretary of State cannot bind the hands of her successor, but as we move away from post-truth politics and culture wars, perhaps she can leave doing some good. The lottery is the country’s principal gambling addiction. For most, it is innocent fun; for some, it is a problem—an affliction. The now resigned tech and digital Minister, the hon. Member for Croydon South (Chris Philp), confirmed to the hon. Member for Cardiff West (Kevin Brennan) at the Digital, Culture, Media and Sport Committee this week that tickets can be charged perfectly legally to credit cards, building up huge debts. When Camelot is replaced, can that be reformed?

Nigel Huddleston Portrait Nigel Huddleston
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I thank the hon. Gentleman for the final part of his comments and for drawing attention to the fact that we constantly review the lottery. We have made significant changes over time, such as to the age limit for who can play it. As he is aware, people can use a credit card if the ticket is bought with other shopping. That is the norm in many other countries, but we constantly review those exact areas.

John Spellar Portrait John Spellar (Warley) (Lab)
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5. What recent estimate she has made of the economic contribution that (a) the betting and gaming industry and (b) racing make to the economy.

Nigel Huddleston Portrait The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Nigel Huddleston)
- Hansard - -

In 2019, the last full year of gambling data unaffected by covid, the gambling industry contributed £8.3 billion to the economy, or 0.4% of gross value added. The sector employs approximately 98,000 people and pays £2 billion a year in gambling duties. According to the British Horseracing Authority, racing has direct revenues in excess of £1.47 billion and makes a total annual contribution to the UK economy of over £4 billion.

John Spellar Portrait John Spellar
- Hansard - - - Excerpts

I refer to my entry in the Register of Members’ Financial Interests. I thank the Minister for that comprehensive reply. Can I urge him, in preparing the White Paper, to take a balanced view of the economic and social benefits, the considerable pleasure for millions who bet quite responsibly and the great contribution to the Exchequer, and balance that against the very vocal lobbying, particularly in some of the media, by those who basically, with gambling, are prohibitionists?

Nigel Huddleston Portrait Nigel Huddleston
- Hansard - -

Again, I assure the right hon. Gentleman that the gambling White Paper was comprehensive, and the response will be comprehensive. We have taken evidence and information from across the entire sector, so views such as those he has represented we are absolutely taking into account during the consideration.

Rachael Maskell Portrait Rachael Maskell (York Central) (Lab/Co-op)
- Hansard - - - Excerpts

6. If she will take steps to license short-term holiday lets.

Nigel Huddleston Portrait The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Nigel Huddleston)
- Hansard - -

The hon. Lady will be aware that, just last week, we announced a review of this very area. It is vitally important, particularly in tourism-affected areas of the country, and I know that her city, which I have had the pleasure of visiting, is one of them.

Rachael Maskell Portrait Rachael Maskell
- Hansard - - - Excerpts

Short-term holiday lets and Airbnb are blighting my city: we have nearly 2,000. That is undermining the regulated bed and breakfast and guesthouse sector. It is taking away houses from people in my city who are desperate to get homes, but it is causing antisocial behaviour and party houses on residential streets. Will the Minister ensure that the Government introduce a licensing system as opposed to a registration scheme, and also enable local authorities to create areas where there are no Airbnbs? Will the Minister meet me to discuss the crisis we are currently facing?

Nigel Huddleston Portrait Nigel Huddleston
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I am always delighted to meet the hon. Lady. She raises some important points, articulating precisely the need for the review, which we have brought in because we are very aware of some of the issues she raised. Some of the individual entities—Airbnb and so on—are already taking action on antisocial behaviour and the number of people who can be at parties. We expect, and require them actually, to continue to be responsible for and responsive to their customers and, indeed, local communities. We have not pre-empted the conclusions of the review, so I ask her to please contribute to that review.

Michael Fabricant Portrait Michael Fabricant (Lichfield) (Con)
- Hansard - - - Excerpts

The hon. Member for York Central (Rachael Maskell) is absolutely right to identify the issue that she has in York and in other parts of the country, but will my hon. Friend also bear in mind that these lets generate income for the area too, and many restaurants and other places would probably go out of business were it not for some of these lets?

Nigel Huddleston Portrait Nigel Huddleston
- Hansard - -

My hon. Friend is making an important point, and that is why this is a call for evidence. It is about information; we have not come to conclusions or, indeed, decisions about potential legislation. There is a balance to be had here. Many people rent out a spare room, and in particular in these straitened times, it is very important that they can get additional revenue where they can.

Kevin Brennan Portrait Kevin Brennan (Cardiff West) (Lab)
- Hansard - - - Excerpts

With the announcement, just now, that the Prime Minister has resigned as the leader of the Conservative party, will his temporary occupation of No. 10 Downing Street over the summer qualify as a short-term holiday let?

Nigel Huddleston Portrait Nigel Huddleston
- Hansard - -

I am sure the hon. Gentleman is enjoying himself, but that is nonsense. I think the important thing to make very clear, as people can see today, is that government continues.

Craig Whittaker Portrait Craig Whittaker (Calder Valley) (Con)
- Hansard - - - Excerpts

8. If the Government will consult on the potential merits of raising the charity lottery annual sales limit to £100 million.

Nigel Huddleston Portrait The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Nigel Huddleston)
- Hansard - -

Society lotteries are a vital source of funds for charities and other organisations, raising hundreds of millions of pounds every year. Sales and prize limits were last increased in 2020. A review after 12 months, published in March, concluded that the reforms were starting to benefit the sector, but more evidence was needed before making further changes. We will work with the Gambling Commission to keep this under review.

Craig Whittaker Portrait Craig Whittaker
- Hansard - - - Excerpts

I thank the Minister for that answer. As he rightly said, charity lotteries, such as the people’s postcode lottery, are benefiting thousands of charities and communities around the country, not least in the Calder Valley itself, and implementing the next stage of charity lottery reform, as the Government have previously said they will do, is a great way to help to take forward the levelling-up agenda at no cost to the public purse. Will he agree to look further at this and implement that review sooner rather than later?

Nigel Huddleston Portrait Nigel Huddleston
- Hansard - -

Yes, absolutely; we will keep this under review. The Government did express an ambition to look again at increasing the annual sales limit to £100 million once we were satisfied that this would result in an increase in overall returns to good causes and would not negatively impact on the national lottery. That goal of making sure the returns to good causes are optimised will be at the front of our minds.

Nick Smith Portrait Nick Smith (Blaenau Gwent) (Lab)
- Hansard - - - Excerpts

9. What assessment she has made of the impact of the rate of the delivery of the rollout of gigabit broadband on (a) rural and (b) urban communities.

--- Later in debate ---
Liz Saville Roberts Portrait Liz Saville Roberts (Dwyfor Meirionnydd) (PC)
- Hansard - - - Excerpts

12. What recent assessment she has made of the sustainability and future of heritage steam railways.

Nigel Huddleston Portrait The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Nigel Huddleston)
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The Government absolutely appreciate the unique importance of heritage steam railways in this country in promoting our industrial heritage and supporting tourism. We are in regular communication with the industry.

Liz Saville Roberts Portrait Liz Saville Roberts
- Hansard - - - Excerpts

I am lucky to have seven heritage railways in Dwyfor Meirionnydd, and steam engines were designed to be run on coal. Following the Russian invasion of Ukraine, they face a crisis in the supply of suitable coal. The sector is working to develop alternatives to coal, as required by the net zero agenda, but it needs help. Will the Minister commit to supporting heritage steam to ensure the survival of our industrial heritage?

Nigel Huddleston Portrait Nigel Huddleston
- Hansard - -

I have had several conversations with the right hon. Lady on this topic, as I have with colleagues from across the House, and I understand the complexities and challenges. She will be aware that some of the issues that need to be resolved may be outside DCMS’s portfolio. Ultimately, the sourcing of fuel supplies is a commercial arrangement. However, I will be happy to continue to work with her and facilitate further conversations across Government.

Robert Largan Portrait Robert Largan (High Peak) (Con)
- Hansard - - - Excerpts

T1. If she will make a statement on her departmental responsibilities.

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Rachael Maskell Portrait Rachael Maskell (York Central) (Lab/Co-op)
- Hansard - - - Excerpts

T3. York is ambitious to make it on to the UNESCO world heritage site tentative list. We will certainly display our many heritage assets and our social history, encouraging inbound tourism to the UK. However, it is a very expensive process. What support will the Department give to help cities like York to make it on to the tentative list?

Nigel Huddleston Portrait The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Nigel Huddleston)
- Hansard - -

We are looking at the long list of potential future bids for UNESCO world heritage sites. Many people will be surprised that York is not already on the list, for many of the reasons the hon. Lady outlines. I am happy to have a conversation with her. I do not think there is an expectation of financial support, but we should be able to provide support and advice.

Duncan Baker Portrait Duncan Baker (North Norfolk) (Con)
- Hansard - - - Excerpts

T7. As the Secretary of State knows, we have some fantastic canals and waterways in this country. Many are historic and need protecting. The fantastic volunteers at the North Walsham and Dilham Canal Trust in my constituency do an incredible job. What discussions has the Secretary of State had with the Secretary of State for Environment, Food and Rural Affairs on supporting this country’s historic canals and waterways?

--- Later in debate ---
Sarah Atherton Portrait Sarah Atherton (Wrexham) (Con)
- Hansard - - - Excerpts

As has been mentioned, the Commonwealth games are fast approaching, allowing athletes from Wales to display their proud individualism under our great Union. Will my hon. Friend the Minister join me in congratulating Jacob Edwards from Olympus Gymnastics in Wrexham, and wishing him all the best as he represents Team Wales?

Nigel Huddleston Portrait Nigel Huddleston
- Hansard - -

I am absolutely delighted to wish Jacob Edwards the best of luck. Of course, the nations compete separately in the Commonwealth games, so there is an England, Northern Ireland, Scotland and Wales dynamic that we do not have in the Olympics. I wish all nations the best of luck.

Clive Efford Portrait Clive Efford (Eltham) (Lab)
- Hansard - - - Excerpts

The Secretary of State was very upbeat in her response to the Opposition Front Bencher, my hon. Friend the Member for Manchester, Withington (Jeff Smith), who asked about local authority leisure centres. They are in financial distress because of the rising costs of energy, and that is particularly true of those that run swimming pools. Is the Secretary of State saying that they are safe for the future, and if so, how is she securing that?

Short-term Holiday Letting in England: Call for Evidence

Nigel Huddleston Excerpts
Wednesday 29th June 2022

(1 year, 10 months ago)

Written Statements
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Nigel Huddleston Portrait The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Nigel Huddleston)
- Hansard - -

The Government are today publishing a call for evidence looking at short-term and holiday letting in England. This call for evidence will improve the evidence base on the tourism sector, gathering views and information on a range of issues related to short-term lets. This will improve the Government’s understanding of the benefits and challenges of the increase in short-term and holiday letting in England in recent years, and will help us to determine whether there are options the Government should pursue through a formal consultation, in line with commitments set out in the tourism recovery plan which was published in June 2021.

The guest accommodation sector has changed significantly over the last 15 years, both within England and across the world. In particular, there has been a major expansion in the number and range of accommodation suppliers operating in the market, driven by the growth of online platforms. While such platforms provide a new route to market for many forms of guest accommodation, it is the increase in short-term letting of residential premises through them that is perhaps the most notable development.

The sharing economy has brought many benefits, both to the tourism sector and the wider economy, but also to individual homeowners by creating an additional income stream, and to consumers by broadening the range of available accommodation. However the Government also recognise that the rise in short-term and holiday letting has prompted a range of concerns. These include the impact on the housing market and local communities, particularly in tourism hotspots, and a sense that new entrants in the market are not being held to the same health and safety standards as traditional operators of guest accommodation such as hotels and bed and breakfasts. Many other countries and cities have introduced measures in recent years in response to some of these issues. As the tourism sector recovers from covid-19, the Government believe that now is the right time to assess the picture in England.

The call for evidence will allow us to collect information on this important issue, and if necessary develop proportionate, evidence-based policy options for a possible future consultation. I am also cognisant of commitments in the levelling-up White Paper to explore proposals for introducing a national landlord register in England, and my Department will continue to work closely with the Department for Levelling Up, Housing and Communities to ensure the Government are joined up in identifying the right solutions for each sector.

The Government are keen to hear from all interested parties, including hosts, guest accommodation businesses, online peer-to-peer platforms, enforcement agencies and tourism representative bodies. I will place a copy of the call for evidence in the Libraries of both Houses.

[HCWS156]

Derby County Football Club

Nigel Huddleston Excerpts
Tuesday 28th June 2022

(1 year, 10 months ago)

Westminster Hall
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Westminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.

Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.

This information is provided by Parallel Parliament and does not comprise part of the offical record

Nigel Huddleston Portrait The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Nigel Huddleston)
- Hansard - -

It is a pleasure to serve under your chairmanship, Mr Hollobone. I thank my hon. Friend the Member for Mid Derbyshire (Mrs Latham) for securing this important debate on the administration of Derby County football club, and I thank all of those who have participated, including my hon. Friend the Member for Central Suffolk and North Ipswich (Dr Poulter), the right hon. Member for Derby South (Margaret Beckett), my hon. Friends the Members for Bolsover (Mark Fletcher), for North West Leicestershire (Andrew Bridgen) and for Amber Valley (Nigel Mills), and the hon. Member for Manchester, Withington (Jeff Smith).

It is also important to stress, as my hon. Friend the Member for Mid Derbyshire did, that several other colleagues have played very close attention to the club’s situation, particularly my hon. Friends the Members for Erewash (Maggie Throup), for Derby North (Amanda Solloway) and for South Derbyshire (Mrs Wheeler), and the hon. Member for Chesterfield (Mr Perkins), who have had frequent conversations with me, my officials and others. As we get to the final stretch, it is important that our constituents are aware of how much time, attention and effort has been put in by all the right hon. and hon. Members I have mentioned, because they recognise how important the future of Derby County is to their constituents. I applaud everybody I have mentioned for their efforts, which show the House at its best. Along with all Members present, I am hopeful about the recent positive developments, and I hope that the matter will soon be resolved to the betterment of the club. I hope that any future parliamentary engagement we have about the Rams will not be in the face of such jeopardy.

Like many Members of this House, particularly those who have joined today’s debate, I know that football clubs are at the absolute heart of our communities, and it is incredibly worrying to see them at risk. That is why the issue is so high on the political agenda here in Parliament and in so many constituencies, especially when there are significant shocks to clubs’ financial security. Match days are days of pride and community and of bringing people together, and the ongoing success of clubs affects the local economy and the wider finances of the football ecosystem overall. The Government understand the importance of this, as does the whole House. That is why we have had the fan-led review of football governance, which has received strong support from all parties.

We are working at pace on the White Paper, which will set out further details on how we will implement wide-ranging reforms in this area. My opposite number, the hon. Member for Manchester, Withington, has asked me on many occasions to confirm when it will be published. He knows that it will be in the summer, although there is often parliamentary debate about when the summer starts. I can assure him that my officials are moving at pace, and I appreciate that he recognises that this issue is complex. It is one thing to say, “Let’s set up a regulator,” but the devil is in the detail. The scale, scope of responsibilities, location and financial support of the regulator all need quite a lot of work, but we are working on them.

Turning to Derby County football club, the situation has for too long remained worrying for fans, the local community and the football ecosystem alike. I know that this environment of uncertainty is frustrating for all stakeholders. That the club has kept its focus, and that the fans have been so loyal despite this uncertainty, is a huge credit to them. Along with colleagues, I praise Wayne Rooney, who confirmed this weekend that he will be leaving the club with immediate effect, one year earlier than planned. I pay tribute to his efforts and those of the wider team on and off the field.

No one wants to see a founding member of the Football League in administration and facing threats to its survival. I am sure that the team’s efforts this season have made an extremely positive contribution to securing this historic club for years to come, for the Derby County fans of the future. We remain clear that the governance surrounding the administration of Derby County is a matter primarily for the English Football League, the administrator and the club. I thank the right hon. Member for Derby South for understanding that there are things I can control and have influence over, and other things that I cannot. These are self-organising private sector entities that are making commercial decisions.

However, as all hon. Members have said, this is an issue that everybody is interested in. The Government take an interest in the very real concern of Derby County fans, particularly because the club has endured such a long period of risk and uncertainty—so long, in fact, that it has recently begun to threaten the club’s place in the EFL next season, and there are potentially greater ramifications for the club as a whole, as several hon. Members have pointed out. For that reason, I have been receiving regular updates for some time. Most recently, I convened the EFL, the administrators and many hon. Members here today to receive reports on progress. I hear hon. Members’ comments about the frustrations they have experienced with the EFL and the administrators. I will ensure that I communicate those frustrations to those stakeholders.

It would be inappropriate for me to comment on all the points that my hon. Friend the Member for Mid Derbyshire made, but I will always call on all stakeholders to be pragmatic, act at speed and put the interests of fans at the heart of everything they do. As several hon. Members said, I have regularly called on the administrators and EFL to keep MPs and other stakeholders updated. I specifically said, “If you don’t, I will be called to the House in Westminster Hall debates and others to answer on your behalf,” and here we are, so that point is particularly relevant. I am somewhat disappointed to hear the frustration of many hon. Members, who said that they do not believe they were appropriately updated. There are potentially lessons to be learned for the future if such a situation were to arise again.

Similarly, I have had regular engagement with the EFL, and I will pass on hon. Members’ comments. The EFL has many stakeholders, and of course its responsibility is not to support one club, but to work on behalf of all its members. That sometimes causes contradictions and conflicts that are difficult for the supporter of any individual club to understand, but if we were in a slightly different situation, mindsets might change. As I say, I will pass on all those comments.

My hon. Friend the Member for North West Leicestershire raised the Middlesbrough issue, which was obviously resolved by the clubs Middlesbrough and Derby County themselves. I am afraid that I do not necessarily agree with his suspicions about ulterior motives. I was glad that the situation was resolved, and I believe that the EFL acted in good faith. There were also concerns about legal issues, and they were matters to be resolved directly between the clubs. As I say, I will pass on the concerns that hon. Friends and others raised.

The collapse of the purchase by the previous preferred bidder, Chris Kirchner, was a very difficult moment for the club, but I was reassured that other parties remained interested in it. The EFL also set out that there were a number of ways in which the club could continue in the 2022-23 season, with or without a long-term buyer in place. However, there have been numerous developments in the past week, which I hope are broadly welcomed by the fans. As we speak, Clowes Developments has issued a loan to the club to demonstrate the funding necessary to start the next season. Its chair, David Clowes, has purchased the stadium and had an offer for the club accepted by the administrators. As hon. Members have noted, there are hopes that the purchase of the club could be completed this week, and I certainly hope that that will be the case.

Of course, the sale raises questions about the wider financial sustainability of football, which was focused on by my hon. Friend the Member for Amber Valley. I can give him the reassurances he was looking for. If everything was right in football, and all the regulatory frameworks working as they should, we would have had no need to implement the fan-led review. We did so because there were failings across the board in football. Financial sustainability and financial regulation are at the heart of the role of the regulator, to do precisely the things that my hon. Friend called for. The finances of too many clubs are unsustainable. Consistently spending greater than 100% of revenue is not a viable long-term business model, but for some reason that seems prevalent in football. Ongoing financial monitoring will be a key role of the regulator. The Government accepted all 10 recommendations made by my hon. Friend the Member for Chatham and Aylesford (Tracey Crouch). As I have said, we are proceeding at pace with the White Paper, which we will provide more information about soon.

Our plans amount to very significant reform in our national game, and our vision sets a clear direction for that reform, which will reduce the likelihood of financial distress and make football more resilient and sustainable in the long term. I understand that the conversation with Mel Morris was very stark. He did say that, had we had the proposed system in place, Derby County might not have been in the situation it finds itself in now. I think that probably applies to several other clubs that have been in financial distress.

We will publish the White Paper, setting out more details on the breadth of changes that we will make via legislation. I am fairly confident that we will get the support of most, if not all, of the House for that legislation. At the core of those reforms will be an independent regulator for English football. As I have said, the regulator will focus on financial sustainability, overseeing a licensing regime, which covers the top five leagues in English football. We will also act on our view that the current owners’ and directors’ tests do not go far enough and must be strengthened. That will include enhanced checks on the source of funds and the strength of business and financial plans.

The Government are fully committed to reforming football governance, to enable a long-term, sustainable future for the game. Accepting all the strategic recommendations within the review is the next step to do exactly that, and will represent a wholesale change in the way in which football is governed in England. In the meantime, the Government will continue to engage closely with the EFL, the administrators and, of course, hon. Members, until it is confirmed that this fantastic club has been saved. I hope to hear very good news very soon.

Antisemitism and Other Racism in Football

Nigel Huddleston Excerpts
Wednesday 22nd June 2022

(1 year, 10 months ago)

Westminster Hall
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Nigel Huddleston Portrait The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Nigel Huddleston)
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It is a pleasure to serve under your chairmanship, Mr Stringer. I thank my right hon. Friend the Member for Chipping Barnet (Theresa Villiers) for securing this important debate and all those who have participated. There is a very clear message coming from this Chamber today; it is clear from my right hon. Friend’s comments—and those of all Members who have spoken—that we all share the view that it is of the utmost importance to continue tackling the issues of antisemitism and racism in football, in sport and, indeed, in society.

That is why the Government and its arm’s length bodies, Sport England and UK Sport, have worked closely with football authorities and the sector to ensure that tackling all forms of racism and discrimination remains a priority. I am personally committed to this, as I want sport to be welcoming to everyone and a true reflection of our diverse society. It is therefore particularly disappointing to have this debate about racism, discrimination and antisemitism in football, because it is one of our most diverse sports. Indeed, many of our highest-profile stars are from ethnically diverse backgrounds.

However, as we have seen in the media and online over the past few years, there have been continued incidents of discrimination at and around football matches. Over the past year, incidents have been recorded of antisemitism and of Jewish fans being abused in the UK and across Europe. My right hon. Friend gave a rather alarming list of such incidents. Many colleagues today have mentioned the Euro 2020 finals, after which there was an increase in online abuse, in particular, and racism, indicating that this remains a serious issue in football. Over the past few years we have continued to work with football authorities to try to tackle the issue, but so much more needs to be done.

What has been done? There have been actions targeted at and around football grounds, such as improving reporting systems, providing better training and support for referees and stewards, who are often abused themselves, and improving the quality of CCTV and other equipment around stadiums. One significant action was the Government amending legislation to extend the use of football banning orders so that online abusers can be banned from stadiums for up to 10 years, ensuring that action is being taken both online and offline.

As my right hon. Friend and other Members mentioned, we hope that the Online Safety Bill, currently going through Parliament, will also help to tackle some of these issues. One thing that I think we all find quite alarming is this. Abuse, including online abuse, is against the terms and conditions of social media companies already. The problem is that they are not always able or, I am afraid, willing to implement their own terms and conditions. That is one reason why we had to bring in that Bill.

As the national governing body for football, the FA has a responsibility to address all forms of discrimination in the game. Of course, that includes antisemitism, and I know that this is something that it does take seriously. Last year, as the hon. Member for Canterbury (Rosie Duffield) and others mentioned, the FA and the English Football League joined the Premier League in adopting the International Holocaust Remembrance Alliance definition of antisemitism. That provides clear and united guidance across football on what language or actions may be considered antisemitic. The FA has issued fines and bans to players found guilty of antisemitic behaviour. It also works closely with independent bodies, such as Kick It Out, to use the vast reach of football to help educate people, in an effort to wipe out antisemitism.

Jonathan Lord Portrait Mr Jonathan Lord (Woking) (Con)
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Mercifully, I am not aware of any publicly known antisemitism regarding Woking football club and similar clubs in the locality, but in 2017 there was a small graffiti war, played out on walls and garage doors in Woking, that contained a lot of antisemitism, and that was from rival Polish football fans. As well as attacking things domestically, will we use our positions in UEFA and FIFA—we have a World cup coming—to ensure that the IHRA definition is also imposed internationally and that our international friends also take this matter really seriously?

Nigel Huddleston Portrait Nigel Huddleston
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My hon. Friend makes an important point. Of course, we do try, both as a Government and in the sporting bodies and entities whose voice carries a lot of weight internationally. The UK sport bodies are generally quite highly regarded and respected and show great leadership on these issues. I would certainly encourage them to continue those conversations and that dialogue with the international bodies, so that they follow the leadership that is sometimes shown in the UK. When I meet Sport Ministers from the G20 and the G7 around the world, these are precisely the kinds of issues that we raise. I am sorry to hear about the incident that my hon. Friend became aware of.

Other bodies are working on this issue too. An example is the Premier League. We welcome the Premier League’s No Room For Racism action plan and the announcement of new enhanced anti-discrimination measures such as league-wide bans for offenders. In June 2020, the league launched a dedicated reporting system for players, managers, coaches and their family members, which has proven successful in pursuing legal action against offenders.

I think that this is an important point to emphasise—my right hon. Friend the Member for Chipping Barnet mentioned it in her speech. This offence and abuse can be a hate crime, which is illegal, and can be and often is pursued in the courts. It is not banter; it is not something to be taken trivially. It can and should lead to pursuits in the courts. The Opposition spokesperson, the hon. Member for Manchester, Withington (Jeff Smith), also made the important point that times change and attitudes change, and it is not really an excuse to say, “Oh, well, we used to do this in the past.” My hon. Friend the Member for Blackpool South (Scott Benton) also raised this issue. What was perhaps not intended or perceived to be offensive in the past can be now.

We need to be very conscious of the difference between intent in using certain words and behaviours, and the impact that it has on people. I think that is very important in this debate as well. Even where action may not be intended to be abusive or offensive, the reality is that it can be, and there is a responsibility on individuals, governing bodies and clubs to communicate that it can be and is offensive to their fanbase.

We know that there is still a lot more to do across football as a whole. The fan-led review of football governance, which the hon. Member for Manchester, Withington mentioned, recommended that the football authorities work even more closely to ensure consistent campaigns across the various organisations. The Government are pleased that the Premier League, the FA and the EFL have agreed to collaborate on an overarching campaign for equality, diversity and inclusion across football, with Kick It Out. As suggested by the review, we will explore a new, single repository for reports of discrimination—more on this will likely be coming in the White Paper in the coming months. The Government will continue to work closely with all football authorities on this issue.

We know that it is not only football that is facing these challenges. In June 2021, Sport England, UK Sport and the other home nations’ sports councils all published the results of a detailed, independent review of tackling racism and racial inequality in sport. The review brought together data and gathered lived experiences of racial inequalities and racism in the sector. The findings make it clear that racism and racial inequalities still exist within sport in the UK. The sports councils agreed on a set of overarching commitments, and they will work together. Updates on progress are being provided every six months, and I am keen to ensure that this momentum is sustained over the long term.

The updated code places an increased focus on diversity in decision making and ensuring that sports organisations reflect more accurately the communities they serve. The code now requires sports organisations to produce individual diversity and inclusion plans. These have to be agreed by Sport England and/or UK Sport, they have to be published, and they have to be updated annually, so there is positive action there. Diversity and inclusion is absolutely essential to sport. We want people to enjoy taking part in their chosen activity, and we want to attract and retain talented athletes from all backgrounds. That cannot happen if people do not feel welcomed or respected.

Let me briefly address a couple of other points raised by colleagues before I conclude. A couple of hon. Members raised the issue of penalties, particularly in international competitions. That is an important point and again one that we discuss, because penalties for bad behaviour by fans are the responsibility of the clubs. The clubs need to be punished accordingly, and that punishment needs to be effective and needs to hurt. I will always back what some might see as quite tough punishment, but it is needed because we need to take these issues seriously and take every action to make sure the clubs take it seriously.

It should go without saying that there is no place for racism, sexism, homophobia, or any other kind of discrimination in football or sport more widely. We have heard that loud and clear from all colleagues today. My right hon. Friend the Member for Chipping Barnet has raised many important points, and I sincerely thank her for her interest and passion in this subject. Indeed, it is something that she has spoken about eloquently for many, many years. There is still more to do, but she has my assurance that the Government are committed to continuing to work with football authorities to combat racism, discrimination and antisemitism, both in person and online, from the grassroots to the boardroom.

Historical Discrimination in Boxing

Nigel Huddleston Excerpts
Wednesday 8th June 2022

(1 year, 10 months ago)

Westminster Hall
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Nigel Huddleston Portrait The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Nigel Huddleston)
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It is a pleasure to serve under your chairmanship, Mr Bone. I thank the hon. Member for Merthyr Tydfil and Rhymney (Gerald Jones) for securing a debate on this subject again. I also thank those who participated in it. We last discussed historical discrimination in boxing in October 2020, but I warmly welcome the opportunity to revisit the topic today for the reasons the hon. Gentleman outlined.

I fully appreciate the frustration the hon. Gentleman feels in his ongoing campaign for an apology for the discrimination faced by Cuthbert Taylor and other boxers, including Len Johnson—mentioned by the hon. Member for Stockport (Navendu Mishra)—Dick Turpin and others, all of whom were denied the opportunity to fight for a British title between 1911 and 1948 simply because of their race. I applaud the efforts of the hon. Member for Merthyr Tydfil and Rhymney to commemorate Cuthbert with a plaque, which was unveiled in October 2021.

I should say at the beginning, in response to the hon. Gentleman’s request that I write again to the BBBofC for an apology, that I will be happy to do so. I am somewhat disappointed, as he is, that he has not received the response that he would have liked, so I will put in that request again. This is a very important topic.

I recognise, of course, that some of the institutions and bodies with responsibility for boxing are now different from the entities that existed at that time. However, sport needs to look back on its history, and those entities—whatever they are—need to acknowledge past events and take some responsibility for them, although we recognise that the people in charge now are not the people who were in charge then, and that the world is different. We think differently and things have moved on, but stories like Cuthbert’s should not be forgotten. They are part of our social history, and as we noted before and has been highlighted again today, the history of boxing contains fascinating tales of triumph and defeat. It also tells us much about social trends, norms and prejudices of the past. Sport is an integral part of our national life, and we should not be surprised that it often reflects the values of the time—values that are not necessarily shared today.

By modern standards, the prohibition that was in place in the early part of the last century was blatantly racist. We must not brush uncomfortable truths about past discrimination under the carpet; we owe it to those who suffered to understand what they went through, in order to learn from the past and make sure that future generations do not have to go through the same painful experiences. I want sport to be welcoming to everyone and a reflection of our diverse society.

Today, boxing is one of our most diverse sports, and some of our highest-profile sporting stars are boxers from ethnically diverse backgrounds. Boxing has made great progress across other aspects of diversity, too, with its great reach into deprived communities, inclusive boxing hubs for people with a range of health conditions, and the nurturing of female boxing talent. Women’s boxing, in particular, has gone from strength to strength since Nicola Adams won the first female Olympic boxing gold in London in 2012. The recent fight between Katie Taylor and Amanda Serrano at Madison Square Garden in front of a 20,000-strong fan base has been lauded as the greatest women’s boxing fight in history. That incredible encounter lived up to all the hype and showed sport at its best.

For a long time, though, women were barred from boxing competitions. It was not until 1997—so very recently—that the British Amateur Boxing Association sanctioned its first boxing competition for women, and the BBBofC sanctioned the first domestic professional fight the following year. As we know, women’s boxing only fully entered the Olympic games in 2012, so change can be slow to happen, but women’s boxing appears to be on a clear upward trajectory, and long may that continue. We want to help the sport nurture the next superstars of the future and give everyone the opportunity to take part, no matter their background. That is why we continue to support our elite boxers through UK Sport funding. We also support community boxing clubs across the country through Sport England funding and the National Lottery Community Fund.

Navendu Mishra Portrait Navendu Mishra
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I welcome the Minister’s comments regarding inclusion, particularly in boxing. He and I discussed the ongoing racism scandal in cricket when I tabled an urgent question a few months ago, and I thought the Government were reasonable on the matter, but did not go far enough. Will the Minister comment on current issues, such as the lack of progress for men and women of colour in cricket, and the long-standing issues with governance in that sport? I take his points about football, and I welcome them.

Nigel Huddleston Portrait Nigel Huddleston
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I thank the hon. Gentleman for his ongoing interest in this matter. I will come on to some of those points in a moment—it relates to some other sports and I do not want to test the Chair’s patience by diverging too far from the topic of the debate—but the hon. Gentleman is absolutely right. Entities, particularly those that receive Government funding or public money in some way, shape or form, such as through Sport England, have an obligation and a duty—a requirement, in fact—to make sure that they are truly open to all, not discriminating and making efforts to be inclusive. If they are not, they will not and should not get public money. Of course, many other sports are private entities and self-organising bodies, but we still expect them to put in place parameters and governance structures through their governing bodies to do the same things—to be inclusive and open to all.

We have seen some very unfortunate, high-profile incidents in certain sports recently that have let everybody down. They should not taint everybody involved in those sports. We all know that sport is a great unifier and can bring people together in a way that very few other things can. Some of the incidents are extremely worrying, but they should not taint everybody, because a lot of people work day in, day out in all sports across the country to be inclusive. Those people have been somewhat disappointed by incidents they have seen happen in their own sports, because they are working day in, day out to do the exact opposite of what they are seeing in the newspapers and on television.

We should not underestimate the incidents that have happened—unfortunately, particularly in cricket. We are keeping a close eye on it, as is the whole House. We have had multiple debates and will continue to do so, because we expect and need further change. I absolutely agree with the hon. Member for Stockport. I will continue with my speech, because his point is very much the theme of my next few pages.

Sport does not need to rest on its laurels. We must take steps to ensure that discrimination and inequality are identified and addressed. Like many sports, boxing continues to look at what more it can do to promote inclusion and diversity. England Boxing published the results of its equality, diversity and race review in January this year. The report made a number of recommendations around training, leadership and culture, all of which England Boxing is implementing. I am pleased to see the sport engage with the issues in that way.

We know that it is not only boxing that is facing these challenges. In June 2021, Sport England, UK Sport and the other home nations’ sports councils published the results of a detailed, independent review into tackling racism and racial inequality in sport. The review brought together data and gathered lived experiences of racial inequalities and racism in the sector. The findings make clear that racism and racial inequalities still exist within sport in the UK—it is sad that I have to say that. These are long-standing issues that have resulted in ethnically diverse communities being consistently disadvantaged.

The sports councils agreed on a set of overarching commitments that they will work on together, relating to people, representation, investment, systems and insights. Updates on progress are being provided every six months, and I am keen to ensure this momentum is sustained over the long term. In addition, last year, Sport England and UK Sport published an updated version of the code for sports governance that sets the standards all sporting organisations must meet in return for public funding. As I said, if they are not performing in that way, they should not receive public funding.

The code has proved successful in setting clear expectations around good governance and diversity since its launch in 2017. However, four years on, I called on the two sports councils to review the code with a particular focus on equality and diversity, and that is what they have delivered. The updated code places an increased focus on diversity in decision making and on ensuring that sports organisations reflect the community they serve.

The code now requires sports organisations to produce individual diversity and inclusion action plans. These have to be agreed by Sport England and/or UK Sport, published and updated annually. This process, combined with support provided by the sports councils along the way, will help sports set clear ambitions for improving diversity and inclusion throughout their organisations, and not just at the senior board level.

The Government feel strongly about diversity of representation and thought, and I hope the changes in the code will help the sport sector become even stronger in that respect. Diversity and inclusion are essential to sport. We want people to enjoy taking part in their chosen activity, and we want to attract and retain talented athletes. That cannot happen if people do not feel welcome or respected.

It should go without saying that there is no place for racism, sexism, homophobia or any other kind of discrimination in sport, and we continue to work with our sports councils, sport governing bodies and others to ensure everyone feels welcomed and can enjoy sport. The hon. Member for Merthyr Tydfil and Rhymney has raised many important points today, and I thank him for his ongoing interest and passion for this subject. History cannot be changed. For Cuthbert Taylor, and many others like him, nothing can bring back the chance to fight for a British title. We must acknowledge the past and learn for the future. I have made the BBBofC aware of this debate, and I will also write another letter.

The hon. Member for Strangford (Jim Shannon) raised a point about the situation we have with the Commonwealth Games and gymnastics—I am aware of the situation. The sports team at the Department for Digital, Culture, Media and Sport, the Secretary of State for Northern Ireland and the Commonwealth Games Federation are in discussions with the Fédération Internationale de Gymnastique to make it aware of the sensitivities and concerns that the hon. Gentleman has raised. We are engaged in constructive dialogue, and I continue to appeal to FIG to change its decision because, as the hon. Gentleman said, it is inconsistent with existing agreements. I hope FIG will understand that.

Jim Shannon Portrait Jim Shannon
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I want to thank both the Minister and the Secretary of State for Northern Ireland, who I know is directly involved in this matter. We hope that the combination of all of us together—MPs, the Secretary of State and the Minister—can make the difference. It is central to the Belfast agreement, so I cannot understand why the issue has not been addressed. I am hopeful that the endeavours of the Minister and others will make a difference. If the Minister does not mind, I would like to be kept aware of what is going on.

Nigel Huddleston Portrait Nigel Huddleston
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I absolutely commit to making sure that the hon. Gentleman and his colleagues are aware of the situation. We have respectfully appealed and provided the full information, background and sensitivities regarding those three athletes. We all want them to compete and to proudly represent Northern Ireland—that is what they want to do. This issue is somewhat unique to gymnastics, because no other sport seems to have taken that approach. We are respectfully asking FIG to reconsider the situation and I will keep the hon. Gentleman informed of developments.

I appreciate the opportunity to speak today and I thank the hon. Member for Merthyr Tydfil and Rhymney for securing this debate. I will do what I can to ensure that the BBBofC hears what we have said today.

Question put and agreed to.

Football Index Collapse

Nigel Huddleston Excerpts
Tuesday 7th June 2022

(1 year, 10 months ago)

Westminster Hall
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Nigel Huddleston Portrait The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Nigel Huddleston)
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It is a pleasure to serve under your chairmanship again, Ms Ghani.

I should like to begin by thanking the hon. Member for Blaydon (Liz Twist) for securing this debate, and all those who have contributed to it. She and many others have raised the collapse of Football Index with my Department on a number of occasions. I apologise on behalf of the Under-Secretary of State for Digital, Culture, Media and Sport, my hon. Friend the Member for Croydon South (Chris Philp), who has ministerial responsibilities for gambling, but he cannot be here, as he is serving on a Bill Committee. As tempting as it is to make all sorts of promises on behalf of another Minister, I had better not do so. I will try to answer as many questions as I can, and where I cannot do so I will ask my hon. Friend the Member for Croydon South to write to hon. Members.

I will not detain Members by going through the full history of Football Index or explaining what the product is. I think that most Members in the Chamber unfortunately are quite familiar with the circumstances, but it is important to give a brief outline of what happened. BetIndex was licensed by the Gambling Commission in September 2015, and it operated a product called Football Index. The commission’s scrutiny of the company increased in May 2019, when an internal compliance assessment flagged a number of concerns. In July 2019, the commission contacted the Financial Conduct Authority to ask for its view on BetIndex’s activities due to some of the features of the product, which have been outlined by hon. Members. The commission subsequently launched a formal licence review in May 2020. It cited a number of concerns about the product, including terms and conditions.

The investigation was in train when, in March 2021, the commission learned that the company planned to suspend its operations and freeze customer funds, which would breach its licence conditions. The commission suspended BetIndex’s licence and the company subsequently entered administration. The reasons behind the collapse of BetIndex are important. The suspension of football matches during lockdown in March to June 2020 played a significant role in the financial difficulties that the company faced. Its business model was based on live football and media coverage of it. For a period of time, that did not exist. In March 2021, BetIndex announced a drastic reduction in the returns that it paid out to customers. It hoped that that would allow the company to recover and customers to continue using the product, but unfortunately that failed.

The Government took the concerns of those affected by the collapse of Football Index very seriously. That is why we acted quickly to appoint Malcolm Sheehan QC in June last year, to lead an independent review into the regulation of the company. We are grateful to Mr Sheehan and his team for their extensive investigation, thorough report and clear recommendations, which we have welcomed. The review highlighted a number of wider factors relevant to the way in which this situation came about, including the actions of BetIndex and the impact of covid, as I have mentioned, but it also identified areas for improvement for both the Gambling Commission and the FCA. Areas for improvement have been highlighted by several hon. Members today.

As my hon. Friend the Member for Croydon South said in his written ministerial statement in September last year, the report identified areas where the commission could have been more effective in responding to the challenges raised by the novel product—Football Index—including earlier scrutiny and the speed of decision making. Although BetIndex was not regulated by the FCA, the report also looked at the FCA’s role in working with the commission, and identified some areas for improvement, including the speed of response to the commission’s requests.

I am pleased that both bodies have acted on the recommendations to ensure that a similar situation does not happen again. That is a key ask from many Members today. Actions have included such things as the Gambling Commission updating the way in which it assesses risk so that novel products are properly considered; and the commission publishing a consultation on changes to its licensing policy, clarifying that it will not normally grant a licence to products that contain language associated with financial products or which require dual regulation.

George Howarth Portrait Sir George Howarth
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Does the Minister accept that if people are going to be compensated for the losses that they have sustained, that will require active intervention from the Government? Will he consider the suggestion made by the hon. Member for Ceredigion (Ben Lake) about using fines as a possible way of compensating people?

Nigel Huddleston Portrait Nigel Huddleston
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I was going to come on to that point. Unfortunately, that ask is not possible, for a couple of reasons. The FCA is required by law to pass revenue from fines to the Treasury, net of enforcement costs, and the Treasury is required to place that into the Consolidated Fund, to be used for Government Departments on important public services. That is the law. The Gambling Commission fines are used for socially responsible purposes, usually for specific projects to reduce gambling harms. I completely understand the intend behind the request, but I am afraid that it is not possible.

Going back to the changes made as a result of the recommendation, the Gambling Commission and the FCA are also signing a strengthened memorandum of understanding to improve co-operation, and the FCA has nominated an executive director to oversee its relationship with the commission. Therefore, some changes have already happened and others are happening now.

Even though the independent report has been published, other processes are ongoing. First, administration proceedings continue, which may result in some money being refunded to customers. Secondly, the Gambling Commission referred BetIndex to the Insolvency Service and asked it to consider whether the actions of BetIndex’s directors prior to administration breached insolvency or fraud laws.

Ronnie Cowan Portrait Ronnie Cowan
- Hansard - - - Excerpts

I have listened to what the Minister has said about compensation. Under section 123 of the Gambling Act 2005, the DCMS Secretary can impose a levy, at the level they determine, for any purpose whatsoever.

Nigel Huddleston Portrait Nigel Huddleston
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With regard to compensation, as I have said, there are procedures that we cannot move from. It is also very clear that we strongly sympathise—everybody strongly sympathises. As a constituency MP, I also have constituents who have been impacted by the collapse and who have lost money. We have heard today anger and frustration about the genuine hardship—both financial and, of course, mental—caused by the collapse. However, we do not think it would be appropriate for the Government to use public funds to cover losses to individuals resulting from the collapse of a gambling company. Consumers staking money on gambling is not the same as their placing money into other things, such as savings products. Furthermore, the Gambling Commission does not have any statutory powers that would enable it to offer redress for losses suffered as the result of a gambling operator collapsing.

I know that I need to leave time for the hon. Member for Blaydon to respond to the debate, so I will briefly refer to a couple of other points that hon. Members have made. On the Insolvency Service investigation, BetIndex entered into administration on 26 March 2021 and administrators are required to report to the Insolvency Service on company directors’ conduct. Following information received from the administrators and the Gambling Commission, the Insolvency Service has confirmed that it is investigating the conduct of BetIndex’s directors.

The hon. Member for Blaydon asked for a meeting with the Under-Secretary of State for Digital, Culture, Media and Sport, my hon. Friend the Member for Croydon South. I will pass that request on, rather than make a promise on his behalf, but I am sure that he will receive that request with respect. I will also ask him to respond to a couple of other items that she asked about. Please be in no doubt of the seriousness with which the Government take all the matters that have been highlighted today, and the gambling review will indeed be announced in the coming weeks.

Nusrat Ghani Portrait Ms Nusrat Ghani (in the Chair)
- Hansard - - - Excerpts

Ms Twist, you have about a minute in which to wind up.

Statutory Gambling Levy

Nigel Huddleston Excerpts
Tuesday 7th June 2022

(1 year, 10 months ago)

Westminster Hall
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Nigel Huddleston Portrait The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Nigel Huddleston)
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Thank you, Mr Betts. It is a pleasure, as always, to serve under your chairmanship and I will ensure that there is time at the end for the hon. Member for Swansea East (Carolyn Harris) to reply. I thank her for securing the debate and thank all those who have contributed today, articulating a variety of views in a genuinely constructive manner. She has been a staunch campaigner for gambling reform for a very long time and I thank her and other parliamentarians for the many meetings that they have had with DCMS Ministers over recent months and years. As has been mentioned, I am not the responsible Minister for gambling: the Under-Secretary of State for Digital, Culture, Media and Sport, my hon. Friend the Member for Croydon South (Chris Philp), is unavoidably detained in a Bill Committee but I will ensure that he gets a full read-out of today’s debate.

It has been 17 years since the Gambling Act 2005 was passed and it is clear that the risks around harm and the opportunities to prevent it are different now from when that legislation was introduced. We must act to recognise that our regulatory framework needs to change. In recent years, the Government and the Gambling Commission have introduced a wide range of reforms to help protect, support and treat people who are experiencing gambling harms. The protections include the ban on credit card gambling, the fixed odds betting terminal stake reduction and reform to VIP schemes, as well as ongoing work to improve and expand treatment provision through the NHS and third sector. The review is an opportunity to build on those changes and ensure that we have the right protections in place to prevent harm.

As the hon. Member for Swansea East will appreciate, I cannot pre-announce what will be published in the White Paper, which we are finalising, nor can I comment on speculation in the media and elsewhere about its contents. However, I can say that I absolutely recognise the importance of sufficient and transparent funding for research to strengthen our evidence base, as well as for treatment to help those who need support. As part of the wide-ranging scope of the review––it is widely recognised as being wide-ranging––we called for evidence on the best way to recoup the regulatory and societal costs of gambling. We have been clear for several years that, should the existing system of taxation and voluntary contributions fail to deliver what is needed, we would look at a number of options for reform including, but not limited to, a statutory levy.

As hon. Members know, when the Gambling Act was introduced, the gambling industry agreed to provide financial support for tackling problem gambling, and the Gambling Commission requires operators to make an annual contribution to approved organisations, which deliver or support research on the prevention and treatment of gambling-related harms, as a licence condition. We considered that issue closely in 2018 as part of the previous gambling review, when much of the debate centred on the quantity of funding provided by the industry. Since then, there have been a number of changes to how much is given and how it is managed.

Since 2018 the Gambling Commission has improved transparency around the amount given by the industry to research, education and treatment, and which bodies it is paid to, and required operators to donate to organisations approved by the commission. Most donate to GambleAware, an independent charity with no industry involvement in commissioning decisions, and the funding in the system has also increased substantially. In 2019, the four largest operators committed themselves to increasing their contributions tenfold, including £100 million for treatment over the following four years. I think the hon. Member for Manchester, Withington (Jeff Smith) mentioned that contributions under the voluntary system were indeed £34 million last year, and they are due to reach £70 million by 2024. By way of context, £34 million is about 0.3% of GGY, which is about £10.2 billion.

Alongside that, the Department of Health and Social Care and the NHS are taking forward work to improve and expand treatment provision. The 2019 NHS long-term plan gave a commitment to expand the coverage of NHS services for people with serious gambling problems and announced the creation of 15 specialist gambling clinics by 2023-24, with £15 million of funding over the same period.

As my hon. Friend the Member for Blackpool South (Scott Benton) and others have commented, there are five NHS specialist clinics in operation, with a further three due to become operational by the end of this month. The Department of Health and Social Care is working with the NHS and GambleAware to help to improve the join-up between NHS and third-sector services, and to develop a clear treatment pathway for people seeking help.

The hon. Member for Sheffield Central (Paul Blomfield) again raised the tragic case of Jack Ritchie. In March, the hon. Gentleman secured an Adjournment debate on the coroner’s finding that gambling contributed to Jack’s tragic death. As the Under-Secretary of State for Digital, Culture, Media and Sport, my hon. Friend the Member for Croydon South, said then, the findings are an important call to action for our Department, the Department of Health and Social Care and the Department for Education.

As we said in our response to the coroner, the Government are committed to building on the reforms made since 2017 and addressing the concerns identified in the prevention of future deaths report. The coroner’s report and lessons arising from Jack’s tragic death are important inputs to our considerations and the review of the Gambling Act. I can assure hon. Members that, overall, the voice of people with personal or lived experience of harm was thoroughly represented among the submissions to our call for evidence, and I and my successors leading the review have met a number of people who have suffered because of their addictions or those of the people they love. I thank them for their contribution to the debate and the evidence gathering.

As part of the review, we are looking closely at the barriers to high-quality research, which were mentioned by many hon. Members, and how we can overcome those barriers. Building the evidence base to deepen our understanding of gambling can involve the input of a range of groups, including the Gambling Commission, researchers and the third sector. A good example is the research commissioned by GambleAware on the impacts of marketing and advertising on children and young people.

The research showed the impact that certain aspects of gambling advertising can have on young people, including depictions of the association between football and gambling, which I know is a hot topic. That pointed to the need for change to ensure that the UK advertising codes continue to provide effective protection from gambling advertising-related harms. The research has led to the Committee of Advertising Practice announcing stronger protections, which will be backed by the enforcement powers of the Gambling Commission. Those include banning content with strong appeal to children from gambling advertisements, as well as further changes to protect vulnerable people. Research on gambling, like any other subject, is funded by the research councils, and we want to encourage more researchers from a wide variety of disciplines to work in this area. We will say more about that in the White Paper.

I will briefly mention a few other points raised by hon. Members during the debate. The Gambling Commission has piloted a new methodology to measure problem gambling, and that is being worked on. The hon. Member for Strangford (Jim Shannon) mentioned gambling in Northern Ireland. Gambling is a devolved matter in Northern Ireland, but I believe new legislation is being brought forward there. I can confirm that officials have met to share experiences regarding the Great British legislation and regulations, so the conversations are ongoing.

On the effectiveness of GambleAware services, 70% of people who started treatment as problem gamblers were no longer defined as such on the problem gambling severity index at the end of treatment, and 92% saw their score reduced, so there is evidence of some impact.

Several Members raised the important role of the gambling sector’s tax contribution to the economy and the fact that those tax revenues are then used to fund our public services, including the NHS. Everybody has recognised, today or previously, that gambling can be performed safely by millions of people every year. Again, a very clear message from Members today is that nobody is advocating a complete ban on gambling. Of course, any changes must be proportionate and evidence- based, and where possible they must avoid unintended consequences.

The Government have an important responsibility to get reform right. We will build on the many strong aspects of our existing gambling regulatory system to make sure it is right for the digital age and the future. The White Paper is a priority for the Department and we will publish it in the coming weeks, which is precisely the wording that the hon. Member for Manchester, Withington asked for.

I thank all hon. Members for their contributions to today’s debate.

Iain Duncan Smith Portrait Sir Iain Duncan Smith
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Will my hon. Friend define what “coming weeks” means? When is a coming week no longer a coming week? Is it two or three weeks ahead, or four or five? A little definition would help.

Nigel Huddleston Portrait Nigel Huddleston
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I can say no more than that we will be publishing in the coming weeks. I am afraid that my hon. Friend the Member for Croydon South is currently detained elsewhere, so the coming weeks is all I can say today.

Ronnie Cowan Portrait Ronnie Cowan
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I asked the Minister a question about section 123 of the Gambling Act. I do not understand why it has not been enacted.

Nigel Huddleston Portrait Nigel Huddleston
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The answer lies in the evidence given in the debate today. As I have said, we are looking at the Gambling Act review and considering the options and the arguments made today, but there is not 100% support for that at the moment. We committed to looking at that as part of the review, and I am afraid the hon. Gentleman will have to wait for the report to come out in the coming weeks.

I thank right hon. and hon. Members for their contributions. I will make sure that the Minister responsible gets a full report of today’s debate.