Public Confidence in the Media and Police

William Cash Excerpts

Wednesday 20th July 2011 Commons Chamber

[The Prime Minister]

Let me make a bit of progress, and then I will give way to the hon. Lady.

The relationship between the police and the media is a problem the world over, too, but we have to ask—and hon. Members have been asking this today—why ours seems to have become quite so cosy, so leaky and so potentially compromised. Similarly, there is nothing peculiar to Britain about the potentially unhealthy relationship developing between media proprietors and politicians.

That leads to my third point, about trying to turn these noble sentiments of “never again” into action. None of this is easy, and a point that must not be lost in this debate is that to over-regulate the media could have profoundly detrimental effects on our country and our society. We must not miss this in the frenzy about the dreadfulness of hacking at this point. Without a public interest defence, the so-called “cod fax” that uncovered Jonathan Aitken’s wrongdoing might never have emerged. To give another example, are we seriously going to argue in this House that the expenses scandal should not have come to light because it could have involved some data that were obtained illegally? So, we need to step very carefully into this area.

[Mr William Cash (Stone) (Con)]

Will my right hon. Friend give way?

[The Prime Minister]

I have got a feeling that it will be a question about the Bill of Rights that I will not be able to answer—but I am going to try it anyway.

[Mr Cash]

I am glad to say that it is about not the Bill of Rights but the terms of reference that are now in the Library. I simply wanted to ask the Prime Minister to answer this question, if he would be good enough, on the recommendations that can be made by the judge-led inquiry with reference to the question of media policy, regulation and cross-media ownership. Is this intended to cover the whole media, in a way that would ensure that the kind of standards expected of the media in relation to future regulation would be included in the judge-led recommendations?

[The Prime Minister]

I think the terms of reference are pretty clear. The point about cross-media ownership is not about conduct; it is about not just market power, but power of voice. What you are trying to do with cross-media ownership is, if one organisation has a very powerful television station, a number of newspapers, and perhaps some radio stations and some internet sites, how do you agglomerate that and try to measure its power? I can bore for Britain on this subject because I used to work for ITV, in competition with BSkyB and the BBC. It is a very difficult thing to do, but that does not mean we should not try. On the terms of reference, that is what the cross-media ownership part is about, but clearly it is looking at media regulation more broadly, specifically of the printed press, but it can go further.

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[Damian Collins]

The hon. Gentleman is absolutely right, and that is an important point. Going back to what I said about the importance of good structures of corporate governance there are victims within organisations that fail the test of corporate governance—innocent people who have done their jobs well lose out as a result of the mistakes of others. That is why it is so important that those structures should be there. Whatever lessons have been drawn from the scandal so far, that surely must be one lesson that the Murdochs have to learn from it; that is of the greatest importance.

Models of self-regulation can work, but clearly there is a need for total reform of the regulation of the press. The principle of a free press is, of course, of the highest importance. That must continue, but that does not mean that journalists can operate outside the law.

[Mr Cash]

Does my hon. Friend agree that the self-regulation of the press in the 21st century has to be regarded as self-regulation, or regulation, of the media as a whole?

[Damian Collins]

I am grateful to my hon. Friend, who makes an important point. The media and the news, in particular, work across multiple platforms; people get their news not just from newspapers, but from television and the internet, so there is a case for that, although that is quite a big and broad challenge. Certainly, among the regulators there should be people who have experience of multiple media platforms, and an understanding of what is acceptable. That is something to consider.

In the short time left to me, I want to raise a second point. We all agree that there is a good, strong, and important case for free media and a free press, but there is also a strong role for the regulators with regard to mergers involving media organisations. There was discussion earlier about whether politicians should be taken out of the process. It would be wrong for politicians to exercise independent judgment outside of legitimate advice about what companies are fit and proper, and what companies should, or should not, be merged. That should be based on a good high degree of technical and professional knowledge.

The right hon. Member for Bermondsey and Old Southwark (Simon Hughes) spoke, in answer to an intervention, about the application of a “fit and proper person” test. We on the Select Committee had a briefing about that from Ofcom, in whose eyes it is a real test. It has applied it in the past, and has removed broadcast licences from digital broadcasters in the past. I am sure that if Ofcom is monitoring this debate, it would be happy to send information about that to any hon. Members who have an interest in the issue.

We have an obligation to ensure that there is a free and open marketplace for media. The Leader of the Opposition raised his concern about the dominance of Sky in the pay TV market, but we have to look at that market as a whole, and not just one area of it. Yes, Sky is dominant in pay TV; ITV is also dominant when it comes to traditional advertising revenue generated from television. Most people probably get their news and content from the BBC. In the digital media age, all those will be accessible from one platform. When YouView launches next year, there will be more choice more easily available to consumers than ever before.

Although media companies are very different, it is right that we consider them as part of the same entity. We also have to consider that in the internet age, people will increasingly get their news from powerful online organisations such as Google, and social networking sites such as Facebook, which are out of the scope of the regulation of the UK media. We have to consider how media organisations in this country can compete with added pressure from those platforms, so we have to look at the totality of the media market.

We should recognise that newspapers are an enormously important part of our national life; many millions of people still enjoy buying and reading physical newspapers every week, as well as accessing them online, but newspapers, as a business model, struggle. They often succeed better when they are part of integrated media companies with the financial muscle to support them. To refer to remarks made earlier, that is why it is important that there should be oversight of the whole market, and that we consider the competitiveness and regulation of the whole market, and see it as a single entity producing news and taking it to people. When it is well run, healthy and respectable, it is of the greatest importance to a free society and a great democracy.

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[Mr Buckland]

Absolutely right. I am grateful to my hon. Friend for making that point.

There is a sense of something old and something new about this debate. The old aspect of it is the ever-present role of the press baron in our public life. A hundred years ago it was Lord Harmsworth, then it was Beaverbrook, then Maxwell and Murdoch in latter times. That is not new. It is lamentable and wrong, and the House seems to agree that it is time for a change. I welcome that.

There is also something new—the unprecedented vulnerability of private data. Information is the new valuable property of the modern age. We have spent our years guarding our homes and our possessions against theft and burglary, but have forgotten and neglected the sometimes even more valuable private information that can be used in a way that can seriously prejudice the lives of ordinary people. My hon. Friend is right to mention communications companies and the ease of access that there seems to be to telephone data and other personal information. That is wrong, and there is now an historic opportunity to get things right.

I welcome the judicial inquiry, and I remind the House that we have set up a Joint Committee of both Houses to look at privacy, super-injunctions and the future role of the Press Complaints Commission and the media in that context.

[Mr Cash]

Is my hon. Friend aware that the terms of reference of that Joint Committee refer to media regulation as a whole? We therefore need to concentrate on that in relation to the inquiry as well, as set out in part 1, paragraph 2(b) of the terms of reference.

[Mr Buckland]

I am grateful to my hon. Friend. He makes the point that I was about to make. There is a link. There is a direct role for both Houses of Parliament through the Committee to do some valuable work to produce recommendations for changes to media regulation. The Committee has been set up and will report by the end of February 2012. We have an opportunity as parliamentarians in the Chamber and in Committee to make constructive and proper proposals.

I was interested in the suggestions and observations of the Leader of the Opposition earlier about the form of some of the changes that could take place. He rightly talked about redress of grievance. The question is how we build that. If it takes the form of damages, we have to think about how that will be funded. Will there be a contingent fund organised by the newspapers and the media? We must bear in mind that for all the big beasts in the jungle, there are small local newspapers that are struggling to make ends meet. We must be mindful of the ability of the industry to fund a proper system of damages. The right hon. Gentleman and the Prime Minister are right to emphasise the need for a new regulatory body to have teeth and to give ordinary people the chance to see their grievances properly redressed.

For far too long, it has been a case of the big beasts of the jungle trampling over the rights of ordinary people. I do not say that in a spirit of arrogance or anger. I say it in a sense of deep humility and sadness that we have reached this stage in our public life. We have an opportunity. Let us seize it together.