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Arts Council England: Funding

Robert Neill Excerpts
Wednesday 18th January 2023

(1 year, 4 months ago)

Westminster Hall
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Robert Neill Portrait Sir Robert Neill (Bromley and Chislehurst) (Con)
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I beg to move,

That this House has considered the funding decisions of Arts Council England.

It is a pleasure to serve under your chairmanship, Mr Bone, and I am very grateful for the opportunity to return to this topic. It is also good to see the Minister in his place in Westminster Hall. As he will know, this topic has been ventilated before, but I think this debate broadens the issues.

As time has gone on, those of us who follow this issue have had more and more grounds for concern, not just about individual funding decisions by the Arts Council but about the process by which it makes them. That process lacks transparency and, I believe, accountability, and there is a lack of engagement with the sector at a time when funding reductions are being made. Those may be necessary in the overall economic climate, but they have been made in a distributional way that has taken no account of economic, social or other impacts—or, above all, of the overall responsibility of the Arts Council.

When the Arts Council was formed, it was set up

“to give more people opportunities to enjoy and benefit from great art and culture”—

I think it still has that phrase on the banner on its social media. It did not regard itself as an organisation about changing the nature of art or culture; it was about making excellence available to the greatest number of people. That was the vision of Keynes when he set it up and of people such as Jennie Lee when she was Arts Minister. In fact, I think Jennie Lee rightly said that it was important that everyone, wherever they were and whatever their circumstances, should have the opportunity of accessing the best in the arts rather than something cut-price or dumbed down. I rather fear that of late the Arts Council has lost its way in relation to that mission. Some of the specific funding decisions in the latest round highlight how it has gone wrong.

The Minister and others will know that I have raised in particular the issue of the removal of English National Opera from the national portfolio. That would have had the effect of creating 600 redundancies, and—for all the mealy words used by the Arts Council to begin with—it would have effectively meant the closure of the company. The idea that it would have been possible to relocate a 100-year-old company to a base in Manchester—more on that in a moment—at about 12 months’ notice was so risible that one wonders what experience and real understanding of the sector the bureaucrats in the Arts Council who drew up that decision ever had.

I am glad to say that discussions, hard work by English National Opera’s team and engagement with the Arts Council has led to some movement. I welcome the fact that there has been a willingness to listen and that funding has been secured, albeit with a reduction—a reduction perhaps on much the same level as those for other arts institutions. That will enable the 2023-24 season to continue next year. I hope that there will be better transition funding for the future. However, that is as yet uncertain. We have had a step forward, but at the moment English National Opera—a major international company that does co-productions with the Metropolitan Opera in New York and is a major draw for audiences—has had only a reprieve, rather than being saved in a form that is recognisably that of a high-class, top-rate opera company. That is not good enough.

Karen Buck Portrait Ms Karen Buck (Westminster North) (Lab)
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I am grateful to the hon. Member for giving way, and I congratulate him both on securing this debate and on his speech. I also welcome the concession made in respect of English National Opera. However, does he agree that the latest Arts Council declaration still leaves more than £50 million worth of cuts to London’s arts budget over three years? That not only has a devastating cultural impact but, as he suggests, an economic impact; I am thinking of employment and the vital revenue that pours into London from tourists and others who seek to attend these marvellous cultural institutions.

Robert Neill Portrait Sir Robert Neill
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That is certainly true; as a London MP, I am conscious of it too. Of course there is more than one issue at play. One is the distribution—where the money goes. Secondly, there is the question of which institutions and sectors are worst affected by what happens. It does seem that the performing arts have been particularly hard hit. When I look at the trustees of the Arts Council, there seems to be a lack of experience in the performing arts as opposed to the visual arts. We should perhaps return to the composition of the board and management and whether relevant experience of those sectors is there.

Robert Neill Portrait Sir Robert Neill
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I give way to the Father of the House.

Peter Bottomley Portrait Sir Peter Bottomley
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I am grateful to my hon. Friend. Whether one’s experience is in the performing arts or the visual arts, everybody knows that it takes three to four years to put on a good opera of international standard or to put on an exhibition of paintings of international standard, with the co-operation of everybody involved. It seems peculiar that Ministers did not say to Arts Council England, “We understand that and, if you need to make changes, you need to make them over a six-year period, not a six-month period.”

Robert Neill Portrait Sir Robert Neill
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My right hon. Friend makes a fair and valid point. When this matter has been debated in the past, Ministers have argued that this is an arm’s length body over which they have little control. With respect to the Minister, I am not sure that that entirely holds water. The Arts Council has said that a former Secretary of State, in its phrase, “instructed” it in relation to the distribution of some of the moneys.

That is a legitimate policy decision and stance for any Secretary of State to take, but it proves there is a power to instruct and intervene. That should not apply to the day-to-day running of an arm’s length body, but Ministers have an ability and right to set strategic direction and to ensure that there is proper governance and oversight and, at the end of the day, basic equity in how its operations and funding decisions, involving large sums of public money, are taken.

Rehman Chishti Portrait Rehman Chishti (Gillingham and Rainham) (Con)
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I pay tribute to my hon. Friend for securing this debate. On the proper functioning of the Arts Council, there is a specific consultation at the moment on music provision across the country. A concern is that the timeline of the consultation was announced in December 2022, and the first real engagement with stakeholders begins and concludes in January 2023. Ministers and the Government have a duty to ensure that the consultation is proper and thorough. Centres such as mine, Dynamics CIC in Medway, that offer outstanding music provision will be severely affected if it is not done properly and thoroughly, in a way that respects outstanding provision, rather than pulling things together geographically for financial reasons.

Robert Neill Portrait Sir Robert Neill
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I am grateful to my hon. Friend for making that point. It highlights the interesting fact that this is not just a London issue. There are institutions outside London that have lost funding for no apparent reason. That is the difficulty: the lack of any apparent evidence base or transparent and proper process for these decisions. There is a lack of any proper consultation or impact assessment.

I have seen freedom of information responses rather perfunctorily provided to individuals by the Arts Council, in a process that appears to be like drawing teeth. Mr Bone, you and I have had experience of such things from public bodies in the past. It appears that no full impact assessments were made on individual changes, even though some of them will close institutions. Equalities impact assessments were made, but not the full impact assessment expected when dealing with many millions of pounds of public money, and the possibility of an institution ceasing to operate, with redundancies caused thereafter.

Andy Slaughter Portrait Andy Slaughter (Hammersmith) (Lab)
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The hon. Gentleman is absolutely right, and I congratulate him on this debate. This is at best half thought-out, and at worst an act of Luddism. I suspect that what we have seen with the revised proposals for the ENO, which do not save it in the long term, is just an admission that the Arts Council has got this wrong. Let me give him this quote:

“Sacrificing this particular golden goose for a bit of glib London-bashing will do little to improve cultural provision in the regions and would be an act of sabotage for one of our country’s greatest assets.”

That was the right hon. Member for Uxbridge and South Ruislip (Boris Johnson) almost 10 years ago, the last time this was done, and it has not changed.

Robert Neill Portrait Sir Robert Neill
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I am sorry to say that is true. I do not object, in truth, to the idea that we should spend more arts funding across the rest of the country. I am not an opponent of levelling up as such, but I have always taken the view that that should not be at the expense of London. Decimating London is counter-productive, because much of the talent that performs in the rest of the country is London-based and London-trained, because that is where the critical mass of the arts world is. It is where the conservatoires and colleges are.

James Morris Portrait James Morris (Halesowen and Rowley Regis) (Con)
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One of the critical issues is defining what we mean by “levelling up the arts”. In relation to opera, this is not just about physical location. As a west midlands MP, I want more of my constituents to enjoy opera, but does that not mean that we need to define more clearly what levelling up opera might mean? That is what we lack in relation to the funding decisions: there is no overarching strategic view.

Robert Neill Portrait Sir Robert Neill
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That neatly brings me to the next point, which is perhaps the most important. We have mentioned that the funding cut to the ENO would have been a woeful and destructive action. It still might happen: had Dr Harry Brünjes and Stuart Murphy, the chair and chief executive, all their team at the ENO and all the great artists—people such as Bryn Terfel and others, who started the petitions—rolled over to Arts Council England’s decisions, there would be redundancy notices at the London Coliseum this week, and 600 professional people would have been out of a job thanks to Arts Council England’s incompetence. That is no way to run an organisation, and Arts Council England should be ashamed of the way it went about it all.

It is significant that the former Secretary of State, my right hon. Friend the Member for Mid Bedfordshire (Ms Dorries), went public on social media, saying that the way Arts Council England has carried out her intended policy of levelling up arts funding was not as she intended, and has the effect of undermining it. That is the view of the former Secretary of State, who ought to know because it was her policy. The ineptitude of Arts Council England has undermined and discredited the Government’s policy intention, which the Minister and I could probably quite happily sign up to in principle. That is another reason why the Minister ought not to simply say, “I can stand back from this,” because the Government’s own policy is being failed by an arm’s length body. That is really important, which is why we need a proper strategy.

We need a proper strategy for opera. Opera is a major part of the British music scene. Some people think it is a bit of a foreign thing, rather like John Gay’s “The Beggar’s Opera” in the 18th century and Handel. It is not. It is fundamental.

Kevin Brennan Portrait Kevin Brennan (Cardiff West) (Lab)
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On the point about having a strategy and some sort of strategic thinking, one of Arts Council England’s decisions was to cut funding to the touring side of the Welsh National Opera, which tours extensively in England, including to places such as Liverpool, Birmingham, Southampton, Oxford and so on. On the Digital, Culture, Media and Sport Committee, we found out that Arts Council England had not even talked to the Arts Council of Wales about that decision before making the cut, which obviously puts that opera company under threat. The net result, along with the Glyndebourne cut, is that there is no opera in Liverpool at all. What has that got to do with levelling up?

Robert Neill Portrait Sir Robert Neill
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The hon. Gentleman’s point encapsulates why I think the former Secretary of State was right to say what she said: the decision absolutely negates the Government’s own policy. As the hon. Gentleman said, the result of the way Arts Council England has handled this issue is that there is now no opera in Liverpool, because the WNO cancelled its tour. Glyndebourne has cancelled its touring as well—that was touring in the regions of the UK. The WNO toured across the north-west, parts of the west of England, Bristol, Southampton and so on. All those places will now have no opera—not thanks to the policy decisions, but thanks to the way they have been handled and implemented by Arts Council England.

Ministers should not allow the situation to stand, and the same applies to other elements of the arts sector. There is no strategy that informs the approach to prose theatre, to concerts or to museums and galleries. Nowhere is there a fully-fledged strategy, and we certainly ought to have one for opera. In that case, we are talking about £50 million of public money simply going to the opera companies. Think how much more is going to other sectors as well—but no strategy!

When one tries to find the audit trail for this decision, the board minutes that are published are perfunctory in the extreme. None of the board papers is published, and there are considerable redactions to what is published. That is not a level of accountability or transparency that would be accepted in any local authority in this country, and it should not be accepted in a public body such as Arts Council England. It is letting the public down, and it is letting the Government, as the overseeing body, down as well. That is why there is another cause for intervention.

Finally, because I know others want to speak, we need to look at the lack of an economic analysis.

Florence Eshalomi Portrait Florence Eshalomi (Vauxhall) (Lab/Co-op)
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The hon. Member is making a vital point about the economic impact. These cuts will impact organisations not in receipt of Arts Council funding that rely on smaller grants. However, organisations that have now come out of the NPO portfolio will also be drawing on that funding, such as the Omnibus theatre in my constituency and the White Deer theatre in Kennington. Should the Government not recognise the importance that these smaller independent organisations, working with the big national organisations, bring to our local economies in terms of jobs, employment, training and getting our young people involved in the arts sector?

Robert Neill Portrait Sir Robert Neill
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It is certainly right that the arts offer real economic opportunity for many young people, and some of those smaller organisations are the breeding ground from which people come. That is true of ENO itself. Many international stars started at the English National Opera, and that is also true of smaller organisations. That reinforces the point I was making: there is not a strategy for any of that. The Arts Council does not appear to have a strategy for anything.

It seems that the funding decisions in this round were to meet a financial envelope. Fine—let us have a proper discussion then with the Department about how we produce a strategy to meet that financial envelope. But none of that was done. That is why we need a much more strategic approach; this is a serious matter.

Looking at the overall potential economic risk, the 2020 report from the Centre for Economics and Business Research found that in a single year—2018; that is the latest we have—the arts and culture industry directly generated £28.3 billion in turnover, £13.5 billion in gross value added, 190,000 full-time equivalent jobs and £7.3 billion in employee compensation in wages and fees: in other words, into the economy. This is big business; for the UK, this is big business that we excel in and which drags in people to visit us. Also, it enables people throughout the UK to have their lives enriched.

What I do not want to see as part of a levelling-up strategy is a cut-down English National Opera or equivalent doing a reduced orchestration, reduced cast and no-proper-chorus version of one of the great operas, be it “Carmen”, “La Traviata” or “Tosca”, in a shed somewhere outside one of our major cities. That is short-changing the people in regional England. They are entitled to see a proper performance like those we get from WNO and the Glyndebourne tour and which ENO would happily do.

ENO has always made it clear that it is more than willing to do more work outside London. Funnily enough, it was planning to do a performance in Liverpool, of all places, before the covid panic, and none of that seems to have been taken into account by Arts Council England. It is short-changing people in the regional parts of England to suggest that they should get a second-rate version of that which is available in London. No wonder the former Secretary of State, my right hon. Friend the Member for Mid Bedfordshire, was so angry at the way her policy had been misinterpreted—all the more reason for Ministers to intervene.

Let us look at ENO as an example of the economic benefit that one company can bring. It produces £1.75 for every £1 of spend—it actually brings money into the economy with all the knock-on expenditure that comes from people going to the theatre, and that is true across most of the theatrical world. To put all that at risk without a proper strategic basis seems ridiculous. The loss of touring by Glyndebourne and WNO means that some 23,000 fewer people will have the chance to see high-quality opera in this country than before. That is a funny type of levelling up.

Peter Bottomley Portrait Sir Peter Bottomley
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In addition to the performances, does my hon. Friend agree that it is a betrayal of all those who helped Vernon and Hazel Ellis restore the Coliseum from 2000 to 2004, having bought the freehold and made it into the largest and best theatre in London again? What did Arts Council England think would happen to that building, which has been funded by the National Lottery Heritage Fund, the National Lottery, English Heritage and the like?

Robert Neill Portrait Sir Robert Neill
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It may demonstrate the lack of thought in the Arts Council England process. It apparently wanted English National Opera, although no longer based in London, to still run the Coliseum as a commercial venue—a taxpayer subsidised version competing against west end theatre. That does not seem either competent or terribly Conservative, for that matter; it certainly is not a good use of public money.

At the same time, Arts Council England wanted English National Opera to relocate to The Factory in Manchester, a venue that was not built to take unamplified singing—no one had bothered to check. Singing there has to be on a mike. Basic due diligence might have found that one out. The Factory, which, I am told, has been a pet project of some of the senior management of Arts Council England in the past, is a venue that does not have a set of users. It is £100 million over budget. I do not think that forcing a company that has been well established for 100 years or so in London to fill what has become an Arts Council England white elephant was necessarily a very good idea—particularly because Opera North, which performs in Manchester, was not even told. If it had been, it could have said what the audience figures were and probably told Arts Council England that opera cannot be done in The Factory anyway. It is the lack of basic competence, strategic thought and good management that is terrifying in all this. That is why there is a compelling ground for intervention.

Robert Neill Portrait Sir Robert Neill
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I will take one more intervention and then let others speak.

Rehman Chishti Portrait Rehman Chishti
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My hon. Friend mentions the forced collaboration between one organisation and another. That is a quick fix. He talks about opera, but before we get to staging opera we need to ensure that our young people have the right music skills. The Arts Council at the moment is carrying out a consultation on the national plan for music education. It has said that all hubs will cover multiple local authority areas. It has subsequently said that this will be achieved

“via prescribing geographic delivery areas for Music Hubs”.

In Medway we have outstanding music provision in schools. Our neighbours in Kent do not have quite the same standards, but under those proposals one area will be forced in with the other. Surely forcing a merger of an outstanding provision area with another cannot be the right way forward—it will weaken the provision in small organisations such as those in Medway.

Robert Neill Portrait Sir Robert Neill
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It sounds as if Arts Council England has fallen into bureaucratic speak. What would that mean to any normal person or sensible institution? It defeats me. There is a complete lack of understanding of what happens on the ground, and a complete lack of engagement with the institutions and their audiences—that is the great error in all this.

I do not have time to quote it all, but the playwright Dennis Kelly wrote a very powerful letter to me; it can be googled and found on social media. It was about the impacts on prose theatre—in particular, the Hampstead Theatre and others. There is a lack of appreciation of the impacts on audiences, and an unwillingness to engage with them. The fact is that people travel to many of those London venues from all around the home counties; it is not purely a London thing in any event.

Lest I be tempted to go on indefinitely, I should say that I have set out the case as to why the whole approach to this funding round has been seriously flawed. Egregious individual decisions have been made. Some of those have been rowed back on to some extent, and I welcome that—I am always happy if Arts Council England or others are prepared to listen and to look at evidence. But it needs to be much more comprehensive and to do it in a much more transparent and strategic fashion.

I will quote the former Secretary of State again. She said that when she arrived at DCMS, she was not a great fan of opera—I had a conversation with her about that —but she went. I urge all Ministers who come into the Department to go to opera, ballet, theatre, concerts and to look at some of the galleries and museums that they are responsible for. They should see that as an experience in itself. My right hon. Friend became a total convert; she said, in relation to ENO and the Royal Opera House:

“They have been the front runners in levelling up for a very long time. They leave many in other sectors of the performing arts in the shade in terms of how much they give back and how they try desperately via a number of measures to make opera accessible to all.”

That is exactly what ENO has been doing.

Then there are the insulting comments of the director of music at Arts Council England, who said, “We don’t believe there is any growing audience for grand opera”—a rather bizarre term to use. Anyone who knows anything about opera will know that is a five-act French production by Meyerbeer from about 1860; we do not talk in terms of grand opera any more. I think what she meant was full-scale opera, with a proper orchestra and chorus. How anyone can say that when theatres have been locked down because of covid for many years defeats me. Freedom of information requests have not evidenced any robust statistical basis for that assumption, which is another reason to go back and have a proper strategy.

I hope all that tells the Minister that something has gone badly wrong in this funding round. We cannot just say that Arts Council England is an arm’s length body; we need to do something before serious and lasting harm is done to critical parts of our cultural and artistic heritage.

--- Later in debate ---
Kevin Brennan Portrait Kevin Brennan (Cardiff West) (Lab)
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I echo many of the comments that have been made. I thank the right hon. Member for Bromley and Chislehurst (Sir Robert Neill)—

Robert Neill Portrait Sir Robert Neill
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Just honourable.

Kevin Brennan Portrait Kevin Brennan
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I thank the noble Gentleman, or whatever he is, for securing the debate. I also thank the former arts Minister, the hon. Member for Gosport (Dame Caroline Dinenage). She appeared many times before the Digital, Culture, Media and Sport Committee, and she was a very refreshing Minister to have in front of us. I thank her for the candid and supportive way in which she carried out her duties as a Minister and for the work she did during covid to keep many cultural institutions going. I also thank my hon. Friends, including my right hon. and learned Friend the Member for Camberwell and Peckham (Ms Harman), who has campaigned assiduously on this issue.

I mentioned the Welsh National Opera earlier, because when this debate about Arts Council England started, it focused—understandably, perhaps—on the decisions around the English National Opera, but in some ways, what was done around the Welsh National Opera was even more invidious, or at least as invidious, because it signalled that this was not a rational, strategic decision-making process by Arts Council England. Like the hon. Member for Gosport, I would normally express support and admiration for the way that Arts Council England goes about things. However, rather than being a strategic, well-thought-through plan for the arts, it resembled more an emotional spasm of some sort, as a result of wanting to do something very quickly to meet the perceived needs of the Secretary of State at the time, the right hon. Member for Mid Bedfordshire (Ms Dorries). We are now told by the former Secretary of State, Ministers and Government Members that that was not what the Secretary of State wanted all along, which makes the whole affair all the more strange.

One thing that is perhaps good about this whole incident is that it gives us an opportunity to highlight the fact that the Welsh National Opera is an opera company for Wales and England, despite its name. It is value for money because we have a proper national opera company with an international reputation that can serve both England and Wales, including, when it goes on tour, the parts of England that are not often well served by other cultural institutions. That is an integrated system for opera across England and Wales.

Arts Council England decided to cut a third of the funding that it provides to the Welsh National Opera for its touring work in England. That includes many different parts of England, such as Liverpool; the west midlands, which is the part of Arts Council England that looks after the Welsh National Opera in terms of its administration; the west of England, in places such as Bristol; and Southampton, Oxford and elsewhere. It is right that these touring opera companies form an essential part of our regional theatres right across the country.

When Arts Council England appeared before the Digital, Culture, Media and Sport Committee, I was interested to know what its decision-making process was, so I asked Darren Henley whether he had consulted the Arts Council of Wales prior to the decision being taken to cut the funding to the Welsh National Opera. He waffled for a bit, and I had to interrupt him to get him to answer the question, at which point he said:

“They were aware just before the announcement was made, but we didn’t consult them in the announcement”.

I put it to him and to Members here today that it is a dereliction of duty for a decision that has profound implications—as we know, it has resulted in Liverpool being denied any opera whatsoever—to be taken in that haphazard way.

There are no SNP Members here, so I think we are all Unionists in this room. The hon. Member for Blackpool South (Scott Benton) was born in Newport, and he understands the importance of the Union. Arts Council England did not consult the Arts Council of Wales on a decision that has a profound implication for the future of that opera company and the whole system of opera around the country, and that undermines the whole so-called levelling-up agenda that we were told this decision making was about.

I profoundly believe that creativity is a good thing in and of itself. I profoundly believe that this country’s greatest strength, or certainly one of its greatest, is its creative industries, and that we are one of the few countries in the world that is a net exporter. Our creative industries are a huge earner for our country and culturally enrich us all. Quite frankly, as a white, heterosexual male from a working-class background, I am sick of people speaking on my behalf, and talking about wokeism and all the rest of it. The arts and culture are profoundly important to enriching our lives, and we should all stand up for them, whatever our backgrounds.

Let us hope that this was just an emotional spasm. I say to Arts Council England: please, get your act together and start thinking about these things. The arm’s length principle is important, but it does not mean being so arm’s length as to not even consult the Arts Council of Wales. That is not what the arm’s length principle is about, so Arts Council England should get its act back together, and let us return to some sense around this issue.

--- Later in debate ---
Stuart Andrew Portrait The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Stuart Andrew)
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I thank my hon. Friend the Member for Bromley and Chislehurst (Sir Robert Neill) for securing this debate and other Members for their thoughtful contributions.

I am pleased that a number of debates on these issues have been held—both in this House and in the other place—over the last couple of months; that clearly demonstrates the ongoing interest in our incredible arts and culture. As I have stated on previous occasions, access to high-quality arts and culture needs to be more fairly spread. That is why we asked Arts Council England to ensure that funding is distributed more equally right across the country. As my ministerial colleagues have said in written ministerial statements, the Arts Council has fulfilled these ambitions and we are not apologetic about delivering on our policy commitments.

I will not go over past ground in respect of the investment programme or how it works, because I am keen that we think about the big picture today, but it is important to point out that this funding round will support a record number of organisations—a total of 990. That means we will be able to reach more people in more places than ever before. Every region in England outside London is seeing an increase in funding. For the avoidance of doubt, that includes the south-east: this is not just a north/south matter.

Every region in England, including London, is seeing an increase in the number of organisations that are being funded. Levelling Up for Culture Places, a list of 109 places that have been identified as having had historically low cultural investment and engagement, such as those my hon. Friend the Member for Stoke-on-Trent North (Jonathan Gullis) mentioned, will see investment almost double, with 192 organisations in those areas receiving £130 million over the next three years. When compared with the previous investment programme, that is equivalent to a 95% increase in investment. Many places that were not in the last portfolio—such as Stoke-on-Trent, Bolsover, Mansfield and Blackburn with Darwen—will now become home to funded organisations. I hope this will be transformative for many communities throughout the country.

There were a record number of applications to the 2023-26 investment programme, which is, as many will know, a competitive fund. It is usual that organisations will come in and out of the NPO. To support organisations leaving the portfolio, for the first time ever the Arts Council made available transition funding which, subject to application, allows organisations leaving the portfolio to access 12 months of funding from the point of announcement.

On the ENO specifically, no doubt Members have learned of the announcement that was made yesterday, which was mentioned in the debate. I am very pleased that the Arts Council has agreed to invest £11.46 million of funding in the ENO for the period from April 2023 to March 2024. This is to sustain a programme of work at the ENO’s home, the London Coliseum, and at the same time to help the ENO with planning work associated with considering a new base outside of London by 2026 and the development of a new business model for its future operation.

We will also continue to deliver planned activity in London during the year, including an appropriate level of education and community engagement. We are delighted that this has been negotiated. Both sides have also agreed to work together to reach an agreement by the end of March this year on a further two years of funding to support the future of the organisation, subject to successful application. They are also working together on the future running of the Coliseum, and a future base. Taking note of many of the points that have been raised, I hope that is something that can be arranged as soon as possible.

Robert Neill Portrait Sir Robert Neill
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We all appreciate that there has been progress, and that is welcome, but I hope the Minister will accept that this is not a complete answer. I urge him, when he speaks to the Arts Council, to bear in mind that in opera the programmes need to be planned a minimum of 18 months, and very frequently three to four years, beforehand. Even two years will not be enough to mount a serious programme of work, wherever it is. Flexibility needs to be shown on the timeframes so that we get decent work available in and outside London.

Stuart Andrew Portrait Stuart Andrew
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My hon. Friend has made that point clearly. I know that those discussions are ongoing. I hope we will hear something by the end of March.

ACE’s investment in opera, orchestras and other classical organisations will represent around 80% of all investment in music. Through the ’23 to ’26 investment programme, opera will continue to be well funded, with it remaining at around 40% of overall investment in music. Excluding the funding for the ENO, that is more than £30 million per year for opera alone. Organisations such as English Touring Opera and the Birmingham Opera Company will receive increased funding, and there are many new joiners, such as OperaUpClose and Pegasus Opera Company. The Royal Opera House and Opera North will continue to be funded.

Some Members have set out a view that where an organisation is headquartered is a blunt instrument when it comes to levelling up. My noble Friend the Minister for Arts set out a view on this late last year. He said:

“Touring is important…We do not, in any respect, disparage or undervalue that vital work, but… There is a difference in having an organisation based in your community from just being able to visit it as it passes through your town or city.”—[Official Report, House of Lords, 15 December 2022; Vol. 826, c. 852.]

That said, the Government will continue to work with the Arts Council to understand all the impacts of its investment in arts and culture, including opera.

We remain committed to supporting the capital. We recognise and appreciate that London is a leading cultural centre, with organisations that do not just benefit the whole country but greatly enhance the UK’s international reputation as a home of world-class arts and culture. That is clearly reflected in the next investment programme: around a third of the investment will be spent in London, equivalent to approximately £143 million per year for the capital. Historically, Arts Council spending per capita in London has always been significantly higher than in the rest of the country, at £21 per capita in London but just £6 per capita in the rest of England.

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Robert Neill Portrait Sir Robert Neill
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I thank all Members who have attended the debate: the Father and Mother of the House and many others. That shows how seriously this is taken, which I hope is something the Minister will take back. This is something people care about strongly.

Oliver Heald Portrait Sir Oliver Heald
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Will my hon. Friend give way?

Robert Neill Portrait Sir Robert Neill
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I will give way to my right hon. and learned Friend because I know he wants to say something positive about English National Opera.

Oliver Heald Portrait Sir Oliver Heald
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I am so sorry that I arrived late. I wanted to support my hon. Friend in what he had to say about the English National Opera, which we have discussed. It is so important that we preserve that institution, which has done so much to bring opera to the people.

Robert Neill Portrait Sir Robert Neill
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That is a good message for the Minister to take away. The ENO is in the forefront of making art accessible to people who do not have a traditional background in opera, which I did not when I first took an interest as a young lad living in a semi-detached house in Hornchurch. My journey was not dissimilar to that of the former Secretary of State, my right hon. Friend the Member for Mid Bedfordshire (Ms Dorries), in coming to it as an art form.

Opera has enriched my life, and I declare my interest—which I do not think is unknown—as chair of the all-party parliamentary group on opera. That is the message I want the Minister to take away. This is not a fringe matter; it is central to our arts offer in this country. Although I accept that much good work is done by the Arts Council, something has gone badly wrong in this funding round.

There is a legitimate responsibility on Government to intervene when governance, process and consultation do not come up to the standards that we normally expect in a public body. That gives us the chance to put that right and get back on track with an arm’s length body. It is not, I respectfully suggest, a reason to stand back and do nothing. I am sure the Minister will take the strength of feeling in this debate back to his colleagues in the Government and ensure that that gets to the Arts Council itself.

Question put and agreed to.

Resolved,

That this House has considered the funding decisions of Arts Council England.

Performing Arts: English National Opera

Robert Neill Excerpts
Monday 5th December 2022

(1 year, 5 months ago)

Commons Chamber
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Robert Neill Portrait Sir Robert Neill (Bromley and Chislehurst) (Con)
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It is a pleasure but also a sadness to rise to speak in this Adjournment debate, because it is not a discussion we should be having in a society that prizes excellence, attainment and opportunity. It is about the disgraceful behaviour of Arts Council England in removing the English National Opera from the national portfolio and about what some of us perceive to be a significant underappreciation of the performing arts, as opposed to other art forms, in the way we deal with our arts and culture policy—perhaps, I regret to say, in the attitude of Arts Council England itself from time to time.

Let me set out very briefly what causes that. The English National Opera is approaching its 100th anniversary. It was founded by Lilian Baylis to deliberately make opera, in its best and most effective sense, available to everybody—I will come back to the fact that opera is not some kind of elite form in the way it is so often wrongly characterised. That is the same mission that Arts Council England was given: to make art and excellence available to everybody. Regrettably, recent decisions have put that at risk.

For 55 years or so, ENO has had its home at the London Coliseum. It has been a nurturer of talent and, for many people, as audiences and as professional singers, the gateway to opera. It has done a great deal. It has had its challenges from time to time; the Coliseum is a large theatre, and there was a time when the company struggled to find its way in a sense, artistically and financially. It also had some brilliant times, and I remember, as a young student in London, going to the ENO when it was at Sadler’s Wells, before it moved down to the Coliseum. I remember seeing fantastic productions there that opened people’s eyes to what music can do; what that extraordinary juxtaposition of theatre, music and the visual performance can do, in a way that no other art form arguably can.

The ENO’s unique thing was that it was affordable and it did it in English, so the barrier that sometimes makes operas and art forms seem remote did not exist at the English National Opera. That has always been one of its important calling cards. That has also meant that talented people—from Bryn Terfel to Susan Bullock and many others—started their careers and have worked their way to becoming international stars because of the ENO.

Tim Loughton Portrait Tim Loughton (East Worthing and Shoreham) (Con)
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I congratulate my hon. Friend on bringing this debate, although it is regrettable that we have to have it. I can attest, as somebody who has enjoyed many particularly un-highbrow productions at the Coliseum, to what he is saying. The ENO has sought to diversify and to open its doors to the less advantaged. It has given free tickets to young people and has encouraged them to get involved with the beauty of music in an accessible way and in English at such a young age. Does he not think it is ironic that the ENO is the victim of a supposed diversification programme by the Arts Council, which is giving questionable money to all sorts of politically motivated causes up and down the country, and that this could scupper the future of such a fantastic institution that has done so much to bring the arts to those who absolutely benefit from it more than most?

Robert Neill Portrait Sir Robert Neill
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I certainly agree with my hon. Friend. The ENO has been about expanding horizons and expanding opportunities. The irony is also that, because of the hard work of its current leadership, and because of the work that has been done by its chair, Dr Harry Brünjes, by its board, and by its chief executive, it is on a sound financial footing.

The ENO was praised by the chair of the Arts Council as being never better led, and the Arts Council’s internal documents show that its governance is beyond reproach. On its financial situation, risk is seen as moderate—for any company in theatre, that is, frankly, very good. It has actually built up reserves and has done all the right things, putting the operation on a much more commercially aware basis. Those at the ENO spend time bringing in musicals to cross-subsidise some of the less accessible and more challenging work, but that is an important part of their mission, too. They have done everything expected of them in the Arts Council’s own objectives, and have ticked the box on the Art Council’s own internal assessments of the Let’s Create objective.

Why is it, then, that a company that has done everything asked of it, and succeeded, has the rugged pulled from under it by the Arts Council, on 24 hours’ notice, with no consultation, no evidence base—that we have seen—to underpin it, no strategy to underpin the approach to opera as an arts form or, generally, to the way that vocal arts are dealt with in the United Kingdom? Why is it, then, that the chorus and orchestra are threatened with redundancy and the creatives are likely to be on notice? That is all on the basis of a laudable objective of the Government to spread where the arts are found in this country. I do not disagree with that, but it is done in such a manner that the Government’s own objective is, I regret to say to the Minister, undermined and almost discredited.

Margaret Hodge Portrait Dame Margaret Hodge (Barking) (Lab)
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I congratulate the hon. Gentleman on securing this debate, although as the hon. Member for East Worthing and Shoreham (Tim Loughton) said, it is sad that he had to do so. Does he not agree that this is the most scandalous decision, given every objective of the Government and of the Arts Council to widen participation and access to this unique form of art? The ENO is the one place where British young artists have the opportunity to develop their careers, to start performing to the public and to be seen by both national and international opera houses.

The Arts Council worked with the theatre that I chair in east London to put on a performance of “Noye’s Fludde” by Britten. They brought in about 50 young children from Newham and Tower Hamlets in east London, who participated as actors in that production. They managed to win an award out of it, which was absolutely tremendous. Is that not all about widening participation, opening access and levelling up?

Robert Neill Portrait Sir Robert Neill
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The right hon. Lady is entirely right. A few statistics bear that out: 50% of the ENO’s audience come to see an opera for the first time. I was at its new production of “It’s a Wonderful Life” only last week. On Friday I went to see the last performance of “The Yeoman of the Guard”. I have never seen a younger audience in an opera house on either of those occasions. A few months ago I was at “Tosca” when it first opened and saw the same thing—standard repertoire, some would say—young people who are enthusiastic about serious art done to an international level. To undermine that would be vandalism of the very worst order.

Nickie Aiken Portrait Nickie Aiken (Cities of London and Westminster) (Con)
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I congratulate my hon. Friend on securing this Adjournment debate. I was particularly concerned to hear the news of the Arts Council not supporting ENO in the way it should, particularly as the London Coliseum is based in my constituency. I have had conversations with the Arts Council and with the ENO. Does my hon. Friend agree, as I suggested to them, that the ENO should consider a model along the lines of the Royal Shakespeare Company, which has an impressive regional base but keeps its London base because London attracts international tourists as well as British tourists? It is so important for the levelling-up agenda to have a regional base but also to keep the London flagship.

Robert Neill Portrait Sir Robert Neill
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My hon. Friend is absolutely right. That is the whole point. This should not be an either/or. The whole point is to ensure that we have a secure company in London that can do its work, but ENO has been more than willing from the very beginning to do more work outside London. It planned to do a show in Liverpool before the pandemic. As it happens, other cuts elsewhere to Welsh National Opera have meant that Liverpool will get less opera now rather than more. That is a bizarre way of going about things.

Harriet Harman Portrait Ms Harriet Harman (Camberwell and Peckham) (Lab)
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I thank the hon. Member for introducing this important Adjournment debate. I agree absolutely with the case he sets out in his speech for the Arts Council decision to be withdrawn. As the hon. Member for Cities of London and Westminster (Nickie Aiken) proposed, the decision should be reviewed, reshaped and should not go ahead. It is baffling and an absolute shame that three people who have done so much for the arts—Nick Serota, Darren Henley and Claire Mera-Nelson—should have made this wrong decision. Will he join me in urging them to withdraw the decision, recognise that they got it wrong and that the ENO has exemplified levelling up, and undo this terrible mistake?

Robert Neill Portrait Sir Robert Neill
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The right hon. and learned Lady is absolutely right, not least because the decision was made with no notice, no prior consultation and no ability for the ENO to go through a proper consultation process with its staff, who may be rendered redundant. I suspect that lays the Arts Council open to judicial review, but I am sure it would not want to get into that position when a compromise solution is readily available.

Robert Buckland Portrait Sir Robert Buckland (South Swindon) (Con)
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I am grateful to my hon. Friend for giving way; I am conscious of the time. That is the most shocking aspect of this sorry saga: the suddenness of the decision, the abruptness of the withdrawal of funding and the failure to even consider a phased approach or a more modulated approach, as suggested by my hon. Friend the Member for Cities of London and Westminster (Nickie Aiken). Nobody wants to talk about legal action, so surely the sensible way forward is for the Arts Council to think again about the gravity of its decision and to give the ENO a fair hearing at the very least.

Robert Neill Portrait Sir Robert Neill
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My right hon. and learned Friend is obviously right. The perhaps unprecedented number of interventions in this Adjournment debate from hon. Members on both sides of the House demonstrates how strongly people feel about the issue. That is the message to the Minister and the ENO: people support the ENO and say that the Arts Council should think again and find a way forward that achieves the objective.

None Portrait Several hon. Members rose—
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Robert Neill Portrait Sir Robert Neill
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I will take the remaining interventions, then close quickly to give the Minister time to respond.

Jonathan Lord Portrait Mr Jonathan Lord (Woking) (Con)
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I commend my hon. Friend for his excellent arguments and all other hon. Members who are supporting them. As MP for Woking, I have had quite a big postbag on this issue from not just opera-loving constituents, who are disgusted by the decision, but first-class musicians and singers who will effectively lose their job. I, too, appeal to the Minister to ensure that the decision is withdrawn.

Robert Neill Portrait Sir Robert Neill
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I am massively grateful to my hon. Friend.

Jim Shannon Portrait Jim Shannon (Strangford) (DUP)
- Hansard - - - Excerpts

I am grateful to the hon. Gentleman for bringing forward the debate. I believe, as he does, that it is outrageous that Arts Council England is withdrawing the funding. Does he agree that it is about ensuring the upkeep of our theatres, and encouraging people to visit the wonderful theatres that hon. Members have mentioned in their constituencies across the United Kingdom, especially after the impact of covid on the performing arts industry?

Robert Neill Portrait Sir Robert Neill
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The hon. Gentleman is right. What I found extraordinary was the Arts Council’s suggestion that there was no growth in the audience for opera—or for “grand opera”, as it was demeaningly titled, which indicates someone who does not know much about opera. Actually, the figures from the ENO show a significant growth post covid—more than before—but the Arts Council makes no allowance for that. It has flawed figures, no strategy and a flawed consultation—a flawed approach from day one.

Peter Bottomley Portrait Sir Peter Bottomley (Worthing West) (Con)
- Hansard - - - Excerpts

I congratulate and thank my hon. Friend on raising the subject. Seven years ago, the Arts Council was worried about the ENO’s business plan and management. The business plan has gone well, the management have done well, and the singers and musicians have done brilliantly. Is it not time to back a British success?

Robert Neill Portrait Sir Robert Neill
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I entirely agree with the Father of the House.

Andy Slaughter Portrait Andy Slaughter (Hammersmith) (Lab)
- Hansard - - - Excerpts

I may not be able to match the hon. Gentleman’s regular attendance, but the last two productions that I saw at the Coliseum either side of covid were Les Dennis in “HMS Pinafore” and Harrison Birtwistle’s “The Mask of Orpheus”, which gives an idea of the range that is on display. It is a great London, national and international institution, and it is being ruined, so I congratulate him on what he has said, and all other hon. Members. The decision has to be reversed.

Robert Neill Portrait Sir Robert Neill
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I will conclude by asking the Minister what more he needs to hear. When I was a barrister, I would occasionally say to my clients, “The evidence is overwhelming.” He should go outside, have a word and think about it. If he was the advocate, I would say, “Have a word with your clients and tell them to reflect, because there’s time to change this.” The ENO is willing to offer a way forward: it wants to and will do more outside London and it will meet the Department’s objectives, but that cannot be done on the timescale and funding that is available.

Can we please have a proper strategy to underpin the approach to opera and a proper funding settlement to keep the ENO stable until it can go through due process? There needs to be a proper discussion about moving to a viable venue—there is all this nonsense about a place in Manchester, but no one in Manchester has even been consulted. Let us find a proper means for the ENO to perform outside London in a way that delivers good-quality art for people, and then let us sit down to consider a proper level of transition funding, as was done for the Birmingham Royal Ballet, which took five years to go and do work outside London.

Above all, I beseech the Minister that we should maintain the chorus and the orchestra. They cannot move out of London, because they have families, so they will be made redundant and the chorus and the orchestra will be destroyed. An orchestra and a chorus take years to build up. It is not a production line; it is years of work of an ensemble coming together.

Keep the ENO in being and it can do a vast amount elsewhere in the country. It will contribute to levelling up like nothing else. Please do not destroy it, through a misapplication, I am afraid, of a laudable policy; many of us do not disagree with the Government’s policy, but I am afraid it has been badly mishandled by the Arts Council. Arm’s length though it is, because the previous Secretary of State gave instructions to the Arts Council as to how it should do its funding, the Minister has a right and a duty to tell it, “Think again. Reflect. Come to a better solution.”

Stuart Andrew Portrait The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Stuart Andrew)
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This is certainly a fun way to end a Monday evening! I am grateful to my hon. Friend the Member for Bromley and Chislehurst (Sir Robert Neill) for securing this debate and highlighting the importance of the performing arts sector. I thank all other hon. Members for their contributions, and their engagement on this important topic.

My hon. Friend is a passionate supporter of the arts and culture, and I appreciate his and other Members’ thoughts on how we can continue to support and champion the sector, particularly in this area, so that people up and down the country can enjoy the benefits of arts and culture, and what it can bring to our communities. It is worth reflecting on our commitment to the arts and culture sector. My Department secured and delivered the culture recovery fund at a time when almost all our performing arts and culture venues were closed due to the pandemic. This debate would tell a very different story if we had not provided such unprecedented support at that time; it would be a story of how we would need to rebuild a decimated industry.

There was significant support that helped the whole economy, including arts and culture, such as the self-employment income support scheme and the furlough scheme, but the House will remember—as I reminded my hon. Friend in a debate only a fortnight ago—that the Government also supported about 5,000 organisations through the unprecedented culture recovery fund. Tax reliefs for theatres, orchestras, museums and galleries were also increased until 2024 as part of the Budget. Worth almost a quarter of a billion pounds, the additional tax reliefs have supported, and continue to support, the arts and culture sectors in the UK to continue to produce world famous content on the global stage. Taken together, those interventions have supported the sector through the challenges of covid and steered it into recovery.

A number of members have raised with me over the past couple of weeks the issue of the increasing cost of energy bills. I assure hon. Members that we are aware of the extremely challenging situation facing organisations. My noble Friend Lord Parkinson has hosted a series of roundtables to discuss those very issues, and we will continue to do so.

It is important for us to talk about the Government’s levelling-up intentions, because one theme is supporting cultural and heritage assets. This is another boost for arts and culture, and a recognition of its role in the economy and in our communities. Department for Digital, Culture, Media and Sport officials and our arm’s length bodies have been supporting the assessment and prioritisation process for the levelling-up fund, and I am pleased that the second round includes the potential for up to two £50 million flagship culture and heritage projects.

Robert Neill Portrait Sir Robert Neill
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I appreciate the Minister’s remarks. I do not think the energy costs are a great problem for any of the arts companies, frankly. I gently say to him he refers fairly to the levelling-up agenda and the fund. He will be aware that the previous Secretary of State wrote to the Arts Council in February, instructing it to use the major holders of the national portfolio, of which the ENO was one, to do more of their investment outside London. ENO has been prepared to do that, but will he help me understand how something that ceases the company to exist does anything to level up, or to do more of its work outside London? Will he address the specific issues of the Arts Council’s decision?

Stuart Andrew Portrait Stuart Andrew
- Hansard - - - Excerpts

Of course I will, and I am coming on to that. I think it is important to point out that there are three main reasons why we need to have this levelling-up agenda in culture: it is important that access to arts and culture is more fairly spread; that the economic growth that comes from creativity should be felt by everybody; and that the pride of place that culture and heritage can bring to communities should be felt in every corner of the country. That is why we have asked the Arts Council to invest more in the recently identified levelling up for culture places.

Central to all of this is our delivery partner, as my hon. Friend has mentioned—Arts Council England—and, as we have heard, it has recently announced the outcome of its latest investment programme, which will be investing £446 million in each year between 2023 and 2026. There were a record number of applications for this competitive funding, which will support 990 organisations across the whole of England. This means more organisations will be funded than ever before and, crucially, in more places.

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Stuart Andrew Portrait Stuart Andrew
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The premise, but not the individual applications—and that is the critical point. This is an arm’s length body, and if there were any ways in which it was breaching the terms set by the Government, we would of course intervene, but it was following the instructions that were set.

Robert Neill Portrait Sir Robert Neill
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Does the Minister take responsibility?

Stuart Andrew Portrait Stuart Andrew
- Hansard - - - Excerpts

Let me finish, please.

These decisions were taken against well-established criteria by regional teams spread across nine offices across England via directors with expertise in their discipline, be that theatre, music, touring and so on, and they have been overseen by the national council, so I hope Members will forgive me for repeating my message of last week, but it is important.

Supporting UK Artists and Culture

Robert Neill Excerpts
Tuesday 22nd November 2022

(1 year, 6 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

Robert Neill Portrait Sir Robert Neill (Bromley and Chislehurst) (Con)
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It is a pleasure to serve under your chairmanship, Mr Hollobone. I congratulate my hon. Friend the Member for Gosport (Dame Caroline Dinenage) on securing this debate. I agree with and endorse absolutely everything that she has said. I will concentrate on English National Opera. I declare my interest as chair of the APPG on opera.

Make no mistake: what the Arts Council is proposing is not the relocation of English National Opera, but the killing of English National Opera. It is, effectively, closure. It has acted in a peremptory manner, with no consultation and a most questionable evidence base. The extraordinary suggestion by its director of music, of all people, that there was no growth in grand opera in the UK has been flatly contradicted by people such as David Buchler, a former member of the ENO board, who set out why that is a false analysis in Opera Now magazine. The chairman of the Arts Council praised the leadership of the ENO—under its chair, Dr Harry Brünjes, and its chief executive officer, Stuart Murphy, who is here today—as being outstanding. But their reward is to be kicked in the proverbial, because, at the end of the day, it was proposed on very short notice, with no consultation whatever, that the company should be required, having lost a third of its income, to move to an unspecified venue. Manchester was floated as a venue, but nobody in Manchester was consulted. The venue in Manchester was never looked at. In fact, it is not suitable for unamplified performance, so opera simply cannot be done there. The Mayor of Manchester knew nothing of it; Opera North, which already operates in Manchester, knew nothing of it. It is wholly unfeasible.

It is impossible to relocate an opera company over three years. When Birmingham Royal Ballet was moved from London to Birmingham, it took five years. It is impossible to anything in less. In any event, moving English National Opera out of London would mean the chorus, orchestra and technicians being made redundant. Three hundred skilled, world-admired people would lose their jobs in London, with no hope of replacing them in the provinces.

I hope that the Minister will take this away. It is all very well to say that the Arts Council operates at arm’s length—yes, but when it goes rogue and gets something seriously wrong, the Minister is entitled to use his influence, as best he can, to make it change its mind. Can we have this done outside the context of a one-off peremptory decision, based on no evidence? Let us have a proper strategic review of opera provision. Let us ensure that the ENO receives a realistic level of funding over the next four years or so, to keep the company in being, because if it folds it will be lost forever.

The ENO is more than willing to look at doing more work outside of London. That ought to be part of the discussion, but it cannot do it on this basis. We ought to be looking at this on the basis that it keeps a London base. It is able, and has already taken steps, to rent out the London Coliseum to other companies to produce musicals—“My Fair Lady” was a great success—and to bring in income to cross-subsidise. It is doing the right thing and has never had a more commercial or business-like approach. No doubt it could negotiate with the Arts Council ways to take more productions out into the provinces, which would be a good thing, but that can be done only if the company is strong to start with. This proposal would destroy the strong company and the provinces would not be gainers, so I hope very much that the Arts Council will think again. There is a sensible way forward, but it requires the ENO and the Arts Council to sit down and talk.

The English National Opera has been the ground seed for British operatic talent: virtually every notable leading British opera singer and musician has started or had part of their early career at the ENO. International stars still return to the ENO. It is the only company that operates in English, it is accessible in the vernacular and its audiences are more ethnically diverse than those of any other company. Some 50% of the audience are first-timers and one in seven is under 35.

If we want to grow opera, the English National Opera is the company doing that. To kill it off, which is what the Arts Council is doing, is an utter dereliction and complete contradiction of what the Arts Council asserts it is trying to do. Even within the arm’s length rules, it is time for the Government to put pressure on the Arts Council to reflect and think again.

Trade Bill

Robert Neill Excerpts
Sarah Olney Portrait Sarah Olney (Richmond Park) (LD) [V]
- Hansard - - - Excerpts

As the shadow Secretary of State for International Trade pointed out earlier, we have had many debates in this place about the Trade Bill, but today there is only one question before us: should the UK have trade deals or agreements with countries that practise genocide on their own people? It seems very clear to me and my fellow Liberal Democrat Members that we need to grab this opportunity to make that very clear statement. We welcome the Foreign Secretary’s statement earlier today about the Magnitsky sanctions, but we absolutely must follow that up and make it so clear in everything we do that we do not tolerate genocide in any shape or form.

The Liberal Democrats therefore remain unflinching in our support of Lord Alton’s amendment. We welcome the fact that their lordships have once again returned the Bill to the Commons with this amendment. I urge the Government to listen to all the cross-party voices on this issue and allow the amendment to stand. Time is short, so I will not rehearse all the reasons why this genocide amendment is so necessary in combating the actions of regimes against their own people, such as we are currently seeing against the Uyghurs in China at this very moment.

It continues to baffle me that this Government, which fought so hard for the rights of the UK to agree its own trade deals, have so little to say about how they plan to use that power. They have resisted calls from across the House to use the power of our trade deals to demand environmental, social or human rights improvements from our trading partners. How can we ensure that our goods and services will not be cheaply traded away if the Government will not even allow this amendment? The Government’s objections to the original amendment have been ably addressed by their lordships, and we will be voting this evening for the amendment tabled by the hon. Member for Wealden (Ms Ghani).

Robert Neill Portrait Sir Robert Neill (Bromley and Chislehurst) (Con)
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I would have no hesitation in voting against a trade deal with a state that commits genocide, nor would I have any hesitation in voting against a trade deal with a state whose oppressive behaviour and conduct fell short of the legal definition of genocide. But either way, those are political decisions and should be taken here; therefore, we need a political process to deal with those.

That is why, despite the changes, there still remain difficulties with the latest iteration of this Bill to come back from their lordships. The problem is given away by the language, which was recognised by the shadow Secretary of State when she referred to a finding by our country’s most experienced judges. That is the rub of the wording of the amendment. When it talks about a “Parliamentary Judicial Committee” and “a preliminary determination”, later defined as “a public finding”, that is the language of courts rather than of Parliaments.

The tension is further revealed by the provisions specifying the procedure by which judges may be appointed to the parliamentary judicial committee. That is constitutionally inaccurate, never mind anything else, because once former members of the judiciary sit in the other place, they sit there as former members, no longer as judges. They have ceased their judicial function. To pass this amendment with its current wording would be constitutionally illiterate. Although the expertise of the former members of the judiciary is very great and very welcome, it is surely objectionable in principle to create a parliamentary Committee on which only one class Member of either House can serve by reference purely to their previous occupation.

Secondly, it seems to me undesirable that, by statute, we should seek to circumscribe so closely both the membership of a Committee of either House or the proceedings by which such a Committee operates, which normally should be a matter for Standing Orders. I would have thought that that was much the better way to go.

Robert Neill Portrait Sir Robert Neill
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I will give way to the shadow Secretary of State, as I referred to her speech.

Emily Thornberry Portrait Emily Thornberry
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The thing that has always concerned me about the hon. Gentleman’s amendment is that it is for Select Committees to make decisions about whether there has been genocide, but the Chairs of the Select Committee who would be the primary candidates have all said that they do not think that they are up to it, that they do not feel that they have sufficient experience, and that it would be the sort of thing that someone with judicial experience would be better able to do.

Robert Neill Portrait Sir Robert Neill
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That would lead the right hon. Lady back into the constitutional problem that was recognised and rejected by this House on a previous occasion with the first version of the Alton amendment. Secondly, I posit that the better way forward is to use the Standing Orders of this House to set up a Joint Committee of both Houses to scrutinise the matter. That could, of course, from the Crossbench Members of the other House, include Members of the House of Lords with former judicial experience, but they would be there as Members of the House, not as former judges and that is their proper constitutional position. None of them has sought to suggest that they will be doing so otherwise.

Robert Neill Portrait Sir Robert Neill
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I am sorry, but time presses. I have given way once, and, with respect, it would not be fair on other people.

I hope that, when the Minister responds to the debate, he will make it clear that the Government would facilitate the bringing forward of motions to enable the establishment of such a Joint Committee of both Houses and I hope very much then that Members of the other place with high judicial experience might well lend their expertise to that. The obvious precedent is the work of the Joint Committee on Human Rights, ably chaired by the right hon. and learned Member for Camberwell and Peckham (Ms Harman). Over the years, that has established a very high reputation for its rigour of scrutiny, the quality of its decision-making, and the respect in which it is held. It is inconceivable that such a Committee would be ignored by any Government on an issue as important and significant as potential genocide by a potential trading partner. I urge the Government to take that as the right way forward rather than falling yet again into the totally well-intended, but none the less undesirable, constitutional trap of this latest iteration.

Iain Duncan Smith Portrait Sir Iain Duncan Smith
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My hon. Friend is making a speech that contradicts the Government’s position right now. The Government do not believe that what this House, or a joint House, would do is decide that genocide has taken place, so, in a sense, he is quite a long way towards our amendment.

Robert Neill Portrait Sir Robert Neill
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I fear that my right hon. Friend misunderstands—inadvertently, I am sure. My stance is entirely consistent with that of the Government because it would be for the Select Committees to refer the matter to the Joint Committee, which would then take a view as to whether genocide had potentially taken place. Ultimately, that would then be a matter that informed the House as to whether it decided to go through with the signing off of a trade agreement. Even under the CRaG process, this House has control over that matter. There is, therefore, with respect to my right hon. Friend, no contradiction at all. The nonsense would be to have a situation where we seek to create—however well intended—a quasi-court in the other place through the language of this amendment. That would, I suspect, do more harm than the good that is intended by it. I hope that, if the Government make clear their intentions and facilitate the setting up of a Joint Committee, we will have a better and an altogether more suitable resolution.

Marie Rimmer Portrait Ms Marie Rimmer (St Helens South and Whiston) (Lab) [V]
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Genocide is the most horrific act of barbarity that humans are capable of. In 20 years’ time, I probably will not be around, but most Members will be. By then, the true horrors of what the Chinese regime is doing in Xinjiang will be known by all, and each Member of this House will want to look back with the knowledge that, when presented with the opportunity to do something, they took it.

Trade Bill

Robert Neill Excerpts
Robert Neill Portrait Sir Robert Neill (Bromley and Chislehurst) (Con)
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I yield to no one in my detestation of genocide and I yield to no one in my admiration for the domestic courts of the United Kingdom. Despite the good intentions of Lords amendment 3B, it has to be faced that it has a fundamental flaw, in that it brings the domestic courts of the United Kingdom into areas where, constitutionally, they have never sought to go.

When we refer to the competent courts in relation to genocide, it is abundantly clear from the convention and subsequent legislation that we refer to the international courts and, in certain circumstances, the criminal courts of the United Kingdom in relation to individuals who are within their jurisdiction. That is wholly different from what is proposed in Lords amendment 3B, which brings the civil courts of the United Kingdom into a wholly novel area of jurisprudence, linked only to one specific issue, which is genocide in contemplation of a trade deal, not more generally.

The decisions on trade deals are constitutionally entirely matters for Parliament. That is why, despite the best endeavours and intentions of the amendment, I cannot support it and why I brought forward the amendment in lieu in my name, supported by three former law officers of the Crown. This would enable Parliament to express a clear view and would, inevitably, in real political terms, enable it to block a trade agreement with a genocidal state, because no Government could ignore that, but it would do so at the end of a parliamentary process. This would then give the appropriate Select Committee greater powers than Select Committees otherwise have, because they will be entitled not only to demand as a matter of law that the Government table the motion that they require if they are dissatisfied with the Government’s response, but to write the wording of the motion. This goes further than the powers that Select Committees have at the moment. That would be most important, as it would enable us to have a proper lock on the matter. We must not allow the courts to be dragged into an area where they have not themselves sought to go. We saw the wholly unfair and unjust criticism of our courts in cases such as the Miller litigation. To place them in this situation, where they will be obliged to step beyond what is the normal constitutional balance, would not be fair on them. They would not be in an easy position to come to a determination, as has been pointed out. Above all, it would inevitably be inviting them to trespass into areas that are highly politically contentious.

I want to have a means of scrutinising future trade deals. That is why I have much more sympathy for Lords amendment 1B than I have for Lords amendment 3B, because that would give a means of dealing with it. Lords amendment 3B, it is misconceived because of that misunderstanding in relation to what a competent court is and the need not to stretch that beyond our constitutional practices—

Nigel Evans Portrait Mr Deputy Speaker (Mr Nigel Evans)
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We will leave it there, Sir Robert.

Exiting the European Union and Global Trade

Robert Neill Excerpts
Thursday 6th July 2017

(6 years, 11 months ago)

Commons Chamber
Read Full debate Read Hansard Text Read Debate Ministerial Extracts
Liam Fox Portrait Dr Fox
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If we require a transition to a new environment, it would be common sense to do so, but it would not be acceptable for any of the elements that, in leaving the European Union, we sought to leave to be binding on that transitional agreement. However, that is part of the negotiation. It is a negotiation, and at any point in that I would not take too seriously or literally anything that the negotiators were saying in the public domain.

After we leave the European Union, we will uphold our principles as we negotiate free trade agreements with new partners around the world. Although we cannot negotiate and conclude FTAs while we remain in the EU, the Department has instigated 10 trade working groups with 15 different countries as well as a high-level dialogue with the United States, which will develop into a fully fledged trade working group later this month. Going forward, as I said to the hon. Member for Vauxhall (Kate Hoey), we may find that a new FTA may not be the correct solution for every partner, but we will look at all the measures available to us to ensure the best outcomes for citizens and businesses across the UK. Our dedication to free trade will be constant. With every nation, we will work to remove barriers, liberalise trade and secure market access for British businesses. As we move forward towards ever greater trade liberalisation, we will ensure that our trade remedies continue to protect and promote Britain’s producers.

If the first duty of Government is the protection of its citizens, the Department for International Trade must extend that obligation to our businesses and work to defend the drivers of our prosperity from rule-breaking and anti-competitive measures. Free trade is not a free-for-all; that is why we have the WTO. If we support a rules-based system, we must ensure that those rules are respected and rigorously enforced.

Robert Neill Portrait Robert Neill (Bromley and Chislehurst) (Con)
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I understand and take on board everything my right hon. Friend says about the WTO and a rules-based system, but, as he observed earlier in his speech, the bulk of our economy, and the bulk of our competitive advantage, lies in the services sector, which in the case of the financial sector is not particularly covered by WTO rules. Will the Government be equally committed to making sure that we have global liberalisation of the services sector, which is so critical to us?

Liam Fox Portrait Dr Fox
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I think I said that earlier, and I also said that this morning in questions. If there is a real cause for us to champion beyond the basic case for free trade, it is liberalisation of the services sector. That is the way in which we will unlock the potential of many economies around the world—and, incidentally, it is the best way to unlock Britain’s economic potential in trade.

In my discussions around the world I have been struck by the way in which products—either goods or services—that originate in the United Kingdom are regarded as being at the top end of the quality market. That is where we are best able to compete. There are those who would make the case for a Britain with lower regulatory standards and fewer protections in place across the economy for the environment, for workers and for consumers. Let me tell the House that Britain will not put itself at the low-cost, low-quality end of the spectrum, as it would make no sense for this country economically to do so, nor morally would it give us the leadership we seek. I believe there is no place for bargain-basement Britain. High standards and high quality are what our global customers demand, and that is what we should provide. From our food and drink industry to our technological expertise and our financial services, people across the world buy British because they see the Union flag as a kitemark of quality. The key to our long-term prosperity lies not in abandoning our values and standards but in reinforcing them. High-quality, high-reputation goods and services are the route to highly skilled, highly paid jobs and future prosperity in this country.

This Government’s highest ambition is to build a Britain that works for everyone, not just for a privileged few. It must also be a global Britain, willing to support a rules-based trading system and champion the cause of free trade itself. We do not pretend that the era of globalisation is without its challenges, but we must never cease to show our citizens the benefits that free trade brings to their lives and to this country. We realise that the challenges and opportunities of globalisation, allied to the rapid change in technology, can produce their share of problems and insecurity. We must strive to address the negative aspects of globalisation and ensure that no one is left behind by the pace of change, while harnessing the power of the global economy to spread prosperity across Britain and our trading partners. We must ensure that we equip our country with the skills necessary to navigate those challenges and that those who are disadvantaged are given the appropriate support. We must unfailingly uphold the principles of free trade across the world, nurturing prosperity and banishing poverty to the pages of history.

I believe that the vast benefits that global trade can bring to Britain and the world and the way in which my Department is working to secure those benefits across the whole of the UK are the key to success in the future. The Leader of the Opposition has wrongly dismissed free trade as political dogma, but to do so is to betray the very people the Labour party claims to represent. To attack free trade and to undermine our nation’s proud tradition will deny prosperity to those who need it most. I hope that all Members of this House, regardless of their political persuasion, want the benefits to be bestowed on this country and back our vision of Britain as a champion of global free trade and the benefits it brings.

Two centuries ago, Thomas Babington Macaulay described free trade as

“one of the greatest blessings which a government can confer on a people”.

We intend to do just that. It is in our power to build a better and fairer Britain for future generations. We require courage and conviction to do that, particularly at a time when protectionism is rearing its ugly head. Prosperity, stability and security are the prizes for a strong, rules-based international trading order, and that is what we seek to achieve.

--- Later in debate ---
Robert Neill Portrait Robert Neill (Bromley and Chislehurst) (Con)
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It is a particular pleasure to follow the maiden speech of the hon. Member for Caithness, Sutherland and Easter Ross (Jamie Stone). It was impressive, elegant and informative all at the same time. I particularly enjoyed it as a descendant myself of “Barra men”, who found their way further south via Inverness-shire. They unfortunately left out Caithness, Sutherland and Easter Ross, skirting it a bit to the south. I know that the hon. Member for Na h-Eileanan an Iar (Angus Brendan MacNeil) will be pleased with that reference. All of us in the House look forward to hearing a great deal more from the hon. Member for Caithness, Sutherland and Easter Ross in the future.

I turn to the comments made by my hon. Friend the Member for Gloucester (Richard Graham), who is still here. I take the same approach as he did. I believed that it was right for this country to remain in the European Union, but the decision has been taken and our job is to be pragmatic about how we deliver the result. The need for give and take on both sides must be firmly recognised. This must be a Brexit that works for the 48% just as much as for the 52%. I am sure that the Ministers on the Treasury Bench will bear that in mind. In practical terms, it involves our being open-minded about the nature of the deals that we reach as we leave. No one party’s manifesto vision attained a majority in the House, so the House itself has a particular right to seek to shape the nature of our leaving and of our future relationship with the EU.

I endorse and agree with what my hon. Friend the Member for Gloucester has said about the customs union. It seems to me illogical that we should put ourselves in a worse position than Turkey by ruling out membership of it. On the position of foreign students, as a London MP I see the great benefit of the talent that comes into our universities and into the financial services provided by the City of London, which is a wellspring of our economy and our public services. I hope that we will see some flexibility there.

Because my right hon. Friend the Member for Wantage (Mr Vaizey)—my very good friend—was not able to get this in, I will add that we need to look afresh at Euratom. It seems illogical to exclude ourselves from something that is very much to our technological advantage. Israel is a member of Euratom, so it is perfectly possible to participate in it without being a member of the EU. We should not put artificial obstacles of a rather theoretical and almost theological kind in the way of a good, practical deal, where one can be done.

That brings me to the meat of what I wanted to say, which concerns the financial services sector. I refer to my entry in the Register of Members’ Financial Interests. Some 36% of my constituents work in or around the financial services sector and its supply chain. The sector is critical to them and to the economy: some £45 billion is generated for our economy by the City of London alone, never mind the broader financial services sector across the whole UK, which employs some 2.2 million people. The total tax contribution of the financial services sector for our public services is some £71.4 billion, so I have no truck with Opposition Members who criticise or carp at the work of the City of London and the financial services sector.

The financial services sector is a strategic national interest, and it must be a primary duty of our Government, as we seek to leave the European Union, to safeguard it. In particular, that will require a proper deal to deliver mutual market access. If some compromise on the form of the adjudication or arbitration arrangements is therefore necessary, so be it. At the end of the day, it is much more important for the welfare of this country that we have full and proper access for our financial services sector than that we argue—as with angels on the head of a needle—about different courts of justice and elements of jurisdiction. Modern countries with a global outlook sometimes recognise the need to collaborate and to share jurisdictions in areas of mutual advantage, and we should not rule that out in this case.

This process must also involve meaningful and early transitional arrangements, not ones set to an arbitrary timescale of two years, three years or whatever. The transitional arrangements must apply for as long as it takes to do the job for the financial services sector. The deal we made with the British people was to respect the outcome of the referendum; it was not a vote about how long the process would take or about the manner of our leaving. It is well established from the evidence that for some elements of the financial services sector—derivatives, say, as opposed to insurance or euro clearing—different lengths of transitional arrangements may well be necessary, and we should be flexible in that respect.

Finally, we must continue to have access to global talent. The issue of students has already been mentioned, and one of my hon. Friends referred to the issue of posted workers, which is also very important. The same applies to London’s position as a great international law centre, because the ability of lawyers to move between multinational firms is absolutely critical. Those are the practical things we need to deliver. I say to the Government that they have my support in doing so, but this must all be done in a way that puts the business outcome and the prosperity of this country above any “ologies”, “isms” or any other kind of academic consideration.