Spending Review 2025

Debate between Earl of Clancarty and Lord Livermore

Thursday 12th June 2025 Lords Chamber

[Lord Livermore (Lab)]

I am grateful to my noble friend for her kind words and her good wishes. I absolutely agree with her. One of the central themes of this spending review is making sure that growth is both created in all parts of the country and felt in all parts of the country. For too long, we have been reliant on just one or two regions of our country to generate that growth. Clearly, given our growth mission and the importance of raising sustainably the level of growth in this country, making sure that every part of the country contributes to that economic growth is absolutely vital.

On the regional investment that my noble friend talks about—in particular the transport investment that the noble Baroness, Lady Neville-Rolfe, referred to—the previous Government made lots of grand plans but never funded any of those grand plans. What we are doing here is setting out a very careful strategic plan to connect our cities, connect our towns to our cities, and funding that fully, so that those transport connections are made and people are able to get around cities and regions, which is absolutely vital to economic growth. It is no good having the jobs, the skills, the towns and the housing if they are not connected and people cannot travel around to them. I think that is an absolutely vital part of getting growth throughout the country.

[The Earl of Clancarty (CB)]

My Lords, notwithstanding the welcome moneys for the repair of cultural venues, the cuts overall to the arts are hugely disappointing. This will affect most the individual freelancer, who really had high hopes that finally there would be reinvestment in their sector. Of course, small and large organisations will be affected, too. So I ask the Minister, would he agree with me that these cuts make no sense, considering the Government have earmarked the creative industries as the linchpin of growth? They do not seem to grasp the vital role—a role in innovation—that the subsidised arts sector plays in the ecology of the creative industries as a whole. Neither is the 15% cut to staffing within the DCMS, while such cuts are not happening everywhere, a vote of confidence in the sector, so the Government do need to rethink these cuts.

[Lord Livermore (Lab)]

I am grateful to the noble Lord for his question. I know that he is a passionate and long-standing campaigner for the cultural sector. As outlined in the spending review yesterday, the DCMS will invest more than £2.9 billion across its entire capital programme to safeguard and modernise cultural and heritage institutions in towns and cities. I hear very much what he says about the wider cultural sector and I ask him to wait for the creative industries industrial strategy sector plan, which will be coming out shortly and which I hope will address many of the issues that he is talking about. As he says, we absolutely recognise the enormous value, both cultural and economic, that the creative industries offer. We will be setting that out in the sector plan for the industrial strategy in the coming weeks and I hope that we can discuss it at that point.

Independent School Fees: VAT

Debate between Earl of Clancarty and Lord Livermore

Thursday 13th March 2025 Lords Chamber

[Lord Livermore (Lab)]

As always, I agree with everything that my noble friend says. All the comments that we have heard to date about the Government’s assessments being incorrect have been proven to be wrong. On the number of pupils who would move from one sector to another, that is absolutely in line with what the Government’s assessment said. On the amount of VAT that would pass through to the fees that parents pay, that is absolutely in line with what the Government said. On the number of schools that would close, that is absolutely in line with what the Government said. As my noble friend said, many councils now say that there has been no obvious impact from the addition of VAT on private school fees, and more pupils are receiving their first choice of school than they did last year.

[The Earl of Clancarty (CB)]

My Lords—

--- Later in debate ---

[The Earl of Clancarty (CB)]

My Lords, while I welcome any relief for the music and dance schools, does the Minister accept that the £45,000 cut-off point for a whole family is too low? When will that be reviewed? Should not the Government do everything possible to encourage UK students into our creative schools, including the Yehudi Menuhin School, whose remarkable students we had the privilege of hearing in the Lords last week?

[Lord Livermore (Lab)]

I am grateful to the noble Earl for his question. I agree with the second part of it that we should encourage people into those schools. In terms of what the Government can do, the Department for Education has already acted and adjusted its scheme, and it will continue to maintain that for the rest of the academic year.

Exports to the European Union

Debate between Earl of Clancarty and Lord Livermore

Wednesday 20th November 2024 Lords Chamber

[Lord Livermore (Lab)]

I agree with much of what the noble Lord says and agree wholeheartedly with the sentiment behind his question.

[The Earl of Clancarty (CB)]

My Lords, what is the timetable is for addressing these concerns? The creative industries have been hit particularly hard by Brexit, losing revenue in trade with Europe on daily basis. There is, or should be, a real urgency about this.

[Lord Livermore (Lab)]

I completely agree with the noble Earl. The creative industries, along with many others in our country, have been hit particularly hard by Brexit. We have identified the creative industries as part of the EU reset, identifying touring visas in particular as one of the priorities. The Prime Minister met with the President of the European Commission in Brussels on 2 October, and they have agreed to strengthen the relationship between the EU and the UK, putting it on a more solid and stable footing. We will now work with the EU to identify areas where we can strengthen co-operation for mutual benefit. Obviously, we recognise that delivering new agreements will take time, but we are ambitious, have clear priorities and want to move forward at pace.

Tax Reliefs: Theatre, Orchestra and Museums and Galleries Exhibition

Debate between Earl of Clancarty and Lord Livermore

Tuesday 15th October 2024 Lords Chamber

[Lord Livermore (Lab)]

I know that the noble Lord has genuine concern for, and a great deal of expertise and experience in, the arts and culture sector. As I said, the Government are committed to supporting the creative industries, and to creating good jobs and accelerating growth in film, music, gaming and the other creative sectors that the noble Lord mentioned. That is why we have ensured that the creative sector is a key part of our industrial strategy. As the noble Lord said, I cannot comment on any specific taxes, but he will know that the Government face a very challenging fiscal situation. He will know that the previous Government left a £22 billion black hole in the public finances, which they concealed from the public, Parliament and the OBR. Addressing that will involve very difficult decisions on spending, welfare and tax.

[The Earl of Clancarty (CB)]

My Lords, given that there are regional museums that are currently facing insolvency, does the Minister agree with me that, while tax relief is useful—indeed, necessary—the real concern for the arts is the wider one of inadequate funding levels?

[Lord Livermore (Lab)]

Clearly, the Government recognise the importance of the arts to our public life and support the funding of the arts at the appropriate level. Unfortunately, I will have to say that the Government will set out their plans for supporting the arts in the coming spending review.