Consideration of Lords message
Nusrat Ghani Portrait Madam Deputy Speaker (Ms Nusrat Ghani)
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I inform the House that nothing in the Lords Message engages Commons financial privilege.

Before Clause 138

Statement and bringing forward of a draft Bill: copyright infringement, AI models, and transparency over inputs

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Nusrat Ghani Portrait Madam Deputy Speaker (Ms Nusrat Ghani)
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Order. Before the Minister responds, I remind him that we have only an hour for the whole debate. We have four Back Benchers wishing to contribute.

Chris Bryant Portrait Chris Bryant
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I feel told off, Madam Deputy Speaker, but thank you very much. I have been told off for talking too long, for talking too short, for going too fast and for going too slow.

My point is that we are already committed to creating two working groups that will look at transparency and at technical solutions to the problems that we face. Both of them will have members of the creative industries and members of tech and AI companies engaged in them. In addition, we want to have a separate group of Members of this House and the other House who are engaged with and have an interest in the subject to help us to develop these policy areas. I think it is best to keep those separate, and that is the plan. As we know, the Secretary of State has already written to the Chairs of the relevant Select Committees, but I hope that what I have just said is helpful.

Chris Bryant Portrait Chris Bryant
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I see that I am getting a slight nod from the Chair of the Culture, Media and Sport Committee about the prospect of our meeting to sort out a way forward on that.

I will say a few words about ping-pong. Some peers have suggested that different rules apply because the Bill started in the Lords. That is simply not true. Double insistence would kill the Bill wherever the Bill had started, and I take people at their word when they say that they do not want to kill the Bill. It has important measures that will enable digital verification services, the national underground asset register and smart data schemes to grow the economy; that will save NHS time; that will make vital amendments to our policing laws; and that will support the completion of the EU’s adequacy review. Its provisions have the support of all parties in both Houses, which is why I urge this House to accept our amendments in lieu and urge the Lords not to insist on their amendment but to agree with us.

It is worth pointing out that if their lordships do persist, they are not just delaying and imperilling a Bill that all parties agree is an important and necessary piece of legislation; they are imperilling something of much greater significance and importance economically: our data adequacy with the European Union. The successful renewal of our EU adequacy decisions is predicated on us having settled law as soon as possible, and we will not have that until the Bill gains Royal Assent. I cannot overemphasise how important this is, and I am absolutely mystified as to why the Liberal Democrats—of all parties—would want to imperil that.

I am equally mystified by the position of the Conservative party. They tabled amendments in the Commons Committee and Report stages that are almost exactly mirrored by what we have already added to the Bill and are adding today. I very much hope therefore that the Conservative party will agree to our motion. It is not as if it disagrees with any of the measures in the Bill.

I am grateful to the noble Baroness Kidron, who said in the Lords,

“I want to make it absolutely clear that, whatever transpires today, I will accept the choice the Government make.”—[Official Report, House of Lords, 4 June 2025; Vol. 846, c. 755.]

It was a point she reiterated later in the debate when she said,

“if we”

—that is, the Lords—

“choose to vote on this and successfully pass it, I will accept anything that the Commons does… I will not stand in front of your Lordships again and press our case.”—[Official Report, House of Lords, 4 June 2025; Vol. 846, c. 773.]

The noble Baroness is right. In the end, only one House is elected; only one House constitutes the Government of the day; and, especially where a Bill was adumbrated in a general election as this one was, the unelected House treads carefully. That is all the more important when the governing party has barely a fifth of the members of the other House. We have listened to the other House and taken action. There may be disagreements about the measures we have taken, but it would be wrong to say that we have not listened. It is time for the Houses to agree that the Bill must go forward.

I will say one final word about creativity. We live in an exceptional age. When our parents were young, they were lucky if their family had a television or a record player. They might occasionally go to a gig, concert or play. If they did have a television, they had a choice of just two or three channels. By contrast, today we are surrounded by human creativity in a way that no other generation was. Technology has brought us multiple channels where we can pick and choose whatever we want, whenever we want to see it. We watch more drama than ever. We can listen to our own choice of music on the train, on the bus or in the car. We can play games online with friends on the other side of the world. More books are published than ever. We can read or listen to them. Almost twice as many people went to the theatre last year as went to a premier league match. There are many challenges, all of which we need to address, including that of the interaction of AI with human creativity, but creativity is a quintessence of our humanity. It requires human-to-human connection, and I do not think for a single instant that that will change.

Nusrat Ghani Portrait Madam Deputy Speaker (Ms Nusrat Ghani)
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I call the shadow Minister.

Ben Spencer Portrait Dr Ben Spencer (Runnymede and Weybridge) (Con)
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It feels like we are going from “Groundhog Day” to “Lost in Translation” because the Government clearly are not getting the message.

Today I will try something different and tell the House a story—the story of this debate:

A story was read in the deep dark wood,

AI saw the book, and the book looked good.

“Where are you heading to, original tome?

Come here with me, and I’ll give you a home.”

“That’s awfully sweet of you, but no,

I’m meeting my author, and they say where I go.

Now I like you, and I don’t want to cause strife

But they made me with love and words shaped by life.

So if we’re to partner, please do ask them first,

To not would be naughty,” he said with lips pursed.

Perhaps I owe Julia Donaldson an apology, while also thanking her for the national treasure that is “The Gruffalo”—I look forward to the third book in the series. We did not use AI, which was useless, to draft it, just the skills of one of my team members Jacqui Gracey—human skill, talent and transparency over sources and work.

Transparency is fundamental to protect creative endeavours. No one can doubt that the Minister has done his best to demonstrate the enduring nature of the creative spirit in the face of adversity and to avoid committing to a timescale and to legislating on transparency. This week, it is a new parliamentary working group. Last week, it was reviews. Next week, it may even be a citizens’ assembly, but the creative industries are not buying it. Our noble colleagues in the other place are not buying it. Members of Opposition parties, and indeed some Members on his own Benches, are not buying it. They are not buying it because the Government have lost the confidence of their stakeholders that they would bring forward legislation to enact effective and proportionate transparency requirements for AI models in the use of their creative content—AI companies need to buy it.

It is this loss of confidence in the Government’s will to take decisive action that means that nothing short of a commitment to bring forward legislation will be enough to allay the fears of the creative industries.

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Nusrat Ghani Portrait Madam Deputy Speaker (Ms Nusrat Ghani)
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Order. Perhaps the hon. Lady should allow the hon. Member to respond to the first intervention before he takes a second.

Ben Spencer Portrait Dr Spencer
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Thank you, Madam Deputy Speaker. As I said, this is clearly a tricky area to legislate—I have said that at the Dispatch Box and in Committee many times—but what is not helping is the uncertainty that has been created throughout the debate, whether it is the position of copyright law, preferred third options or the status of opt-out, which is how we got into this pickle in the first place.

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James Frith Portrait Mr Frith
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I thank my hon. Friend for her intervention, which as ever is rooted in the first-hand experience and professional success that brought her to this place. She should be listened to, and her warnings about the implications of not taking transparency seriously should be heeded.

Secondly, I will return to a subject that I have raised before, because it warrants more scrutiny. That is the recurring suggestion that copyright is out of date. On the one hand, we have heard the Government talk about copyright being clear and well established, and of course we agree with that. Only this weekend, the Government clarified again that if no licence or permission is in place, that is theft or piracy. That clarity is precisely what gives rights holders the confidence, control and legal basis to license their works, which the Government also rightly want to encourage.

However, in the same spirit, we sense that the Government still feel that copyright somehow needs to be reformed or ignored. I ask the Minister to take what I hope is the last opportunity during this process to indicate exactly what reform is being proposed, and what it will achieve that copyright does not already do, because the creative industry believes copyright to be best in class as a respected and enforceable measure. If the answer is transparency, personality rights, or anything that sits around copyright rather than within it, let us call that what it is, but can we please avoid vagueness, constructive ambiguity, and language that sets hares running or undermines confidence in what is frankly a best-in-class system?

Finally, if the Government are still entertaining the idea that the stability of UK copyright law could be weakened in pursuit of an idea of innovation, many will feel that the shift in tone and position in recent weeks —which has been deeply welcome—has been counter-productive, and they will be left concerned.

Nusrat Ghani Portrait Madam Deputy Speaker (Ms Nusrat Ghani)
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I call the Liberal Democrat spokesperson.

Victoria Collins Portrait Victoria Collins (Harpenden and Berkhamsted) (LD)
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I would like to either disappoint or reassure the House that, sadly, I do not have a story for Members today. I will dive straight into the amendments that are before us.

Just three months. After all the discussions and the cries for fairness from the creative industries, which have seen the daylight robbery of their life’s work, the Government are sending back an amendment that, in essence, changes the economic assessment from 12 months to nine months, with a progress statement and some expansion. I understand that this is the data Bill, and that this legislation contains many important elements relating to the future of our data, which we must secure. In response to the point made by the Minister, I absolutely understand the importance of securing data adequacy with the European Union. However, the creative industry is at a critical juncture with AI. Many feel that it is already too late, but they are doing what they can, fighting for transparency and fairness for a £126 billion UK industry.

The Creators’ Rights Alliance has already started to see the impact for creators. 58% of members of the Association of Photographers have lost commissioned work to generative AI services, with an increase of 21% in the past five months alone, totalling an average loss of £14,400 per professional photographer—approximately £43 million in total. Some 32% of illustrators report losing work to AI, with an average loss of £9,262 per affected UK creator. There is an uncomfortable truth that economic gains from AI—of which I am sure there will be many—will also be met with economic losses that must be addressed. Indeed, at Old Street tube station, there are signs everywhere at the moment saying “Stop hiring humans.” Some 77% of authors do not know whether their work has been used to train AI, 71% are concerned about AI mimicking their style without consent, and 65% of fiction writers and 57% of non-fiction writers believe that AI will negatively impact their future earnings. At this point, the creative industry feels betrayed, and is asking for solutions.

I also welcome the Secretary of State’s statements this weekend. He talked about looking comprehensively at the challenges creatives will face into the future and about bringing legislation in at the right time, but that time is now. Last week’s Lords amendment 49F highlighted that the Lords understood the need for separate legislation and asked for a draft Bill looking at copyright infringement, AI and transparency about inputs, which is something that creatives have been clear about from the start. I have always highlighted the positive impacts of technology and innovation, and I have no doubt that creatives will also use AI to aid their creativity. However, from musicians to film makers and photographers to writers and painters, the works of this massive industry have been swallowed up, and creatives are left wondering what that means for them—especially as they are already starting to see the impact.

In my constituency of Harpenden and Berkhamsted I see the creative spirit everywhere. There is: Open Door, a caring oasis with walls covered by local artists; the Harpenden Photographic Society, established more than 80 years ago, where generations have learned to capture light and moment through their lens; the Berkhamsted art society, where painters and craftspeople gather to nurture each other’s artistic journey; and the Berkhamsted Jazz group, who get us up and dancing. These creators are the threads that weave the rich tapestry of British culture, and the creative industries permeate our towns, including the filming of box office hits such as “Guardians of the Galaxy” and “Robin Hood: Prince of Thieves” at Ashridge. Who will be the guardians of this creative galaxy? Why does this theft feel a little less heroic than Robin Hood?

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Samantha Niblett Portrait Samantha Niblett (South Derbyshire) (Lab)
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I draw the attention of the House to my being the founder of Labour: Women in Tech and the co-chair of the all-party parliamentary group on financial technology, and to my career in data and technology prior to becoming an MP. I welcome the Government’s new approach to innovate and expedite the process and to leverage the expertise of both Houses and key stakeholders. I thank them for their work on that.

Just under a month ago, the UK hosted FinTech Week and the global fintech forum, where businesses and Government leaders from around the world came to participate in critical conversations about the importance of the trusted global financial services ecosystem for the physical and digital worlds. Attendance was so senior and strong because after the global financial crisis the UK had to move quickly to a new model, and hence fintech was born. A lot of great work was done in this space by the Conservatives when they were in government, even if they could not get their act together over AI and keep the attention of AI companies. Government regulators, incumbents, entrepreneurs and investors worked together with alacrity to create an ecosystem that led the world into fintech. We created tens of thousands of new jobs, brought in tens of millions in inward investment and created more than 20 billion-dollar companies.

We are in the middle of London Tech Week, which is happening a few miles away at Olympia and was attended by the Prime Minister. There is a technology challenge in the creative industries that needs addressing now, which is why it is great to hear the news today. This is an emergency, and the emergence of AI in recent times has created opportunity and new threats for creatives, who rightly worry that their work is often appropriated by AI without reward or recognition. However, we can be a pioneer in this field, developing trusted solutions that protect creatives and set the standards that others will follow. We have demonstrated our ability to do that in the past with fintech, in which the UK holds a 10% global market share.

The UK’s secret sauce is a unique blend of not just our brilliant talent, light-touch regulation, common business language and soft power, but our common law, which is used by other countries. We are an exemplar. Other countries look to us to lead the way. A crisis is at the door, but we have an opportunity to be on the front foot, ahead of other countries experiencing the same challenges and watching us closely. This country always steps up in times of crisis. The UK can and must take a leading position on the fair use of AI in the creative industries and help to protect our creatives and their work, which are rightly celebrated across the world.

Engagement with global players in the ecosystem is important, but we should also be far more focused on the UK’s home-grown talent and inventive mindset to solve the biggest puzzles. We can move quickly when we need to, and my message to the Secretary of State and to this House is that we really need to, and have to.

Nusrat Ghani Portrait Madam Deputy Speaker (Ms Nusrat Ghani)
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I call the Chair of the Culture, Media and Sport Committee.

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None Portrait Several hon. Members rose—
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Nusrat Ghani Portrait Madam Deputy Speaker (Ms Nusrat Ghani)
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Order. We have a hard stop at 2.56 pm, and I know that the Minister will wish, with the leave of the House, to respond to some of the questions that have been asked. Mr Wishart, you have several minutes, but please do not go all the way to 2.56 pm.

Pete Wishart Portrait Pete Wishart
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I am extremely grateful, Madam Deputy Speaker, and I will not detain the House, as I have just a few comments to make. Let me begin by saying that it is an absolute pleasure to follow the Chair of the Select Committee, the hon. Member for Gosport (Dame Caroline Dinenage). I had my criticisms of the previous Government, but they did not extend to her. She was someone who understood the issues, and someone who was prepared to try to find a solution. Whereas the previous Government were appalling in the way they dealt with these matters, she at least made every effort, through the work of her Committee, to get to the heart of the debate.

This has been an extraordinary episode, and I cannot believe that we are back here for the fifth time. The issues are usually resolved and dealt with in circumstances such as this, and a meaningful compromise is reached between the Lords and the Commons, but that has failed to materialise during what has been a remarkable session of ping-pong. The whole episode has been as interesting and dynamic as it has been entertaining. The Minister and I were elected at the same time—I think we celebrated our 24th year of continuous membership of the House over the weekend. I am sure he will agree that he has never seen anything quite like the way in which we have reached this stage, but if he can give an example to the contrary, I shall be keen to hear it—I know that, given his almost photographic memory, he would be able to provide the details.

What disturbs me is the Government’s failure to attempt to secure some sort of meaningful compromise. Their inability to do that is quite baffling. I am trying to think of a few ways in which we might get round this. It might be an idea to get the Secretary of State and Elton John in the same room and lock the door: perhaps when the two of them emerged, we might be able to come up with some sort of solution. We are in the realms of trying to find a way forward, and that might be one way in which we could do so.

By refusing to listen to the strong view of the Lords and respect the convention that ping-pong is a process at the end of which a workable compromise generally appears, the Government risk undermining their own legislative process. Having looked at the Lords amendment again, and having listened carefully to the debate the other day, I cannot see anything wrong with an amendment that simply asks for a draft Bill containing provisions

“to provide transparency to copyright owners regarding the use of their copyright works as data inputs for AI models”.

I thought that was what we were all trying to achieve, and I am surprised at the Government’s intransigent resistance to a fairly modest attempt to find solutions.

I have looked at the Government amendments as well, and I welcome them. As I have said to the Minister, the one that excites me most involves this House, parliamentary resources and the ability to play a meaningful part in these matters. I hope that he will be able to extend that to all parties across the House.