Public Broadcasting in Scotland

Stephanie Peacock Excerpts

Thursday 15th June 2023 Westminster Hall

[Stephanie Peacock (Barnsley East) (Lab)]

It is a pleasure to serve under your chairship, Mr Efford. I congratulate the hon. Member for Perth and North Perthshire (Pete Wishart) on leading this important debate.

I begin by thanking the Scottish Affairs Committee for undertaking this timely inquiry over the last two years. During that time, Scottish broadcasting has achieved some big wins, as the hon. Member mentioned, from the first Scottish family finally appearing on “Gogglebox” to STV reaching a deal with Sky that meant Scottish football fans could watch their national team win on penalties to reach the Euro 2020 finals.

Scottish broadcasting forms a vital piece of the puzzle of the UK’s creative sector. Scotland is not only home to Amazon, but our public sector broadcasters—Channel 4 and the BBC—also operate from the nation, alongside the strongly performing STV, whose main channel reaches 80% of Scots every month, as of 2021.

Although broadcasting is a reserved matter, we must ensure that our creative industries represent, and prosper throughout, all our nations and regions, bringing communities together, promoting pride in place and strengthening local economies. However, as the Committee report shows, if the industry in Scotland is to thrive as we know it can and better serve Scottish audiences, there is a range of important issues to be considered, particularly given rapid advancements in technology and the establishment of global media giants as competition for our public service broadcasters. Therefore, I will focus my remarks today on each of the main recommendations in the report.

First and foremost, I will address recommendations 4, 5 and 6 about prominence and the draft Media Bill. In essence, these recommendations reiterate what the industry and the Labour party have been saying for years: our public sector broadcasters and radio services need to be given the tools to survive in the modern era. Amid the rise of the global media giants and the game-changing impact of new technologies, the legislation that supports our broadcasting industry, which was made in 2003, is quite simply out of date.

The Media Bill is exactly the kind of intervention needed to address some of those issues—for example, by ensuring that our public sector broadcasters, including STV, are protected and promoted in the streaming age through a new prominence regime. There are questions to be asked about the detail of how the Bill will ensure that, particularly with regard to how prominence for regional channels in Scotland will work in practice, given the technology available.

However, instead of pushing on with scrutiny, the Government have wasted a year in pursuing the disastrous plans to sell off Channel 4. Now that they have finally U-turned on that decision, it is disappointing that the publication of the draft Bill did not come with a clear timetable for its implementation. As the report highlights, the Government need to get on with bringing those changes into law. The longer we leave it, the longer British broadcasters such as STV will risk losing further market share to the big global media corporations, to the detriment of our creative economy and British audiences, including those in Scotland.

The report also recommends that the UK Government commit to maintaining Freeview beyond 2034. As the Government themselves highlight in their response,

“millions of households across the UK, including in Scotland, rely on”

broadcast TV, and that is expected to continue “over the next decade.” Further, unlike internet streaming services, terrestrial TV does not require an internet connection or rely on a monthly subscription. Terrestrial TV content is therefore primarily relied on by those who are already marginalised in our society—people on the lowest incomes, older citizens and those in isolated rural areas. Indeed, as the Broadcast 2040+ campaign highlights, such services are relied on by an even greater proportion of those in Scotland because of its increased rurality, island communities and comparatively older population.

It is a start, therefore, that the Government have committed to preserving digital terrestrial television for over a decade, but the lack of long-term certainty over the future of the service is causing unpredictability both for the broadcasting industry, in terms of investment, and for the digitally excluded. What does the Department think are the disadvantages of providing long-term certainty about broadcast TV and radio, given their importance to both the industry and the community?

Further, the report makes two recommendations regarding sports rights. It was extremely pleasing to see STV come to a formal agreement with Sky to allow for the viewing of the World cup qualifiers on a free-to-air basis. However, it is understandable that campaign groups are unhappy with the lack of a formal plan to ensure that Scottish international football is free to watch. Indeed, there is a careful balance to be struck between ensuring that crucial sporting moments are available to watch and securing investment in sport through the revenue generated by selling rights.

That is what the listed events regime seeks to recognise but, in the age of streaming clips, the problem goes beyond what is contained in the regime, and the question is whether it is still fit for purpose in the modern era. The Department is right to conduct a review of digital sporting rights, and it is positive that it is looking to ensure the longevity of the listed events regime through the Media Bill. As has been argued, however, it has taken too long for the legislation to see the light of day, and it is unclear how it will address digital rights.

Finally, it is pleasing to see the Government confirm, in response to recommendation 7, that the inter-ministerial group on culture and creative industries will be set up this year and that there will be an industry-led task- force to look at skills. However, there is still more to be done to boost screen industry skills across our nations and regions. As part of our creative compact, Labour wants to see the apprenticeship levy reformed into a growth and skills levy that would allow creative industries to spend up to half their levy on shorter training courses and modular skills. The Government must consider such fundamental changes if we are to truly address the creative skills shortages that are holding industries back.

To conclude, Scottish broadcasting plays a vital role in our creative landscape, but the Government can and must do more if the industry is to thrive in the modern age and continue to serve the needs of viewers across all our nations and regions.

--- Later in debate ---

[Sir John Whittingdale]

I take it back if the hon. Gentleman did, but he is still there.

One of the reasons the Media Bill is important is that the take-up of smart TV will continue at pace. I suspect I am one of only a very small number whose television set receives only internet protocol television—I do not have DTT or a freeview application in my TV—and I have to say that IPTV is extremely impressive. As we move forward with more and more access to gigabit broadband under the Government’s Project Gigabit scheme and the commercial roll-out, more and more people will move in that direction.

That prompts a longer-term question about whether DTT will remain the main means of accessing television. It is too soon to say. What the Government have said is that we foresee DTT continuing until at least 2034, but we will be looking in due course at what should happen after that. Giving that assurance until 2034 should give confidence. Obviously, the debate about what happens beyond that time will continue, and we will see how the market develops.

[Stephanie Peacock]

Is there a reason why the Government will not go further and give longer-term security until 2040, as some campaign groups have called for?

[Sir John Whittingdale]

I think 2034 is still a long way off, and this technology is developing fast. Obviously, as we look at the roll-out and at consumer behaviour, that will influence our decision as to how much further to go. The roll-out is happening fast: Scotland is already approaching 70% gigabit coverage, and we anticipate that within a few years every part of the United Kingdom will have access to gigabit coverage. I was pleased to announce earlier this week that the Government will support the provision of gigabit coverage under Project Gigabit to the inhabitants of Papa Stour, a remote part of the Shetland islands, who will in future be able to obtain gigabit coverage from a low Earth orbit satellite as a result of Government investment in this area. No matter what part of the United Kingdom or how remote the area, it is our ambition that everybody should be able to enjoy gigabit coverage in due course. That may affect decisions as to how we continue to ensure that they have access to high-quality television content.

The hon. Member for Perth and North Perthshire concentrated a lot on the issue of listed events. This has always been a “but”. Under the Broadcasting Act 1996, we have a small number of events that are seen to be iconic, which bring all the nations of the United Kingdom together and should remain free to air. The obvious ones are things like the Olympic games, the grand national and the Derby. It is not the case that England football matches are listed. The reason people can watch them on television is that the free to air broadcasters have obtained those rights, but they do not have any exclusive ability to bid for them; others could, too. What are listed events are the FIFA World cup finals, women’s World cup finals, UEFA championship finals and UEFA women’s championship finals. If—as I am sure the hon. Gentleman and his colleagues believe will happen in due course—Scotland reaches the finals in one of those competitions, that will be free to air under the listed events regime. Until then, the Scottish team will have the same rights as the English team and those of other nations of the UK in terms of the football authorities’ ability to decide who they should sell their rights to.