King’s Speech

Lord Strasburger Excerpts

Thursday 14th May 2026 Lords Chamber

[Lord Strasburger (LD)]

My Lords, I will address the impact of Brexit on one of our largest economic sectors—the creative arts sector—and reflect on what that impact tells us about the direction of our economy and the changing mood of the country. In the years since Brexit, not only has our cultural life been affected but our capacity to grow our economy has been damaged. Before Brexit, the creative industries contributed over £110 billion annually to UK GDP and were the largest sector of our economy after the financial services.

The creative industries were also among the fastest-growing parts of our economy, expanding at nearly twice the rate of the wider economic base. They were export-driven, innovation-led and deeply integrated with European markets. That matters because growth in a modern economy increasingly depends on precisely these kinds of sectors, which are mobile, knowledge-based and internationally connected. Yet Brexit has introduced friction at every stage of that model. The previous Conservative Government promised to protect the creative industries from the downsides of Brexit but then completely omitted them from the trade and co-operation agreement, of which the noble Lord, Lord Frost, has just told us he is so proud.

Touring, the backbone of income for many musicians and performers, now involves visas, work permits, cabotage limits and complex tax arrangements. The result is not simply inconvenience but lost activity. Tours are shortened, scaled back or cancelled altogether. These are lost earnings, lost exports and lost contributions to our GDP. A generation of talent has been lost. Young people who would have become our performers, designers and skilled support staff of the future are now scratching a living with Uber or Deliveroo and could be lost to our creative arts for ever.

Collaboration has also been hit. Coproductions, joint ventures and cross-border projects, once routine, are now more complex and costly to organise. That reduces not only output but innovation as the exchange of ideas becomes harder. Investment follows the same pattern. When access to European markets becomes less predictable, investment decisions shift. Productions relocate away from the UK, companies themselves relocate elsewhere and, over time, that weakens the UK’s position as a hub for creative enterprises. Taken together, these effects represent a drag on growth in a sector that should be helping to drive it. The consequences ripple outward. The creative industries support tourism, hospitality and regional economies across the United Kingdom. When creative activity declines, so too does the wider economic ecosystem that depends on it.

This is not a niche concern. It is part of a broader pattern that reduces trade intensity, lowers business investment and slows the growth that we might otherwise have achieved. If we are serious about restoring real, sustained, export-led growth, we must reduce those barriers. We must reconnect with our largest and closest market and rebuild the conditions in which sectors such as the creative industries can thrive.

So far, I have restricted my remarks to the economic benefits of the European Union. But perhaps more important and urgent than the obvious financial upsides is the need to face up to the rapid collapse of the international order that existed at the time of the referendum. Since then, in just 10 years, the world has become not merely more complicated but more dangerous and less predictable. We have seen war return to Europe, persistent threats from hostile states, cyber attacks, terrorism, energy shocks and growing pressure on the rules-based international order. The second Trump presidency has added a further layer of volatility by unsettling alliances, sharpening transatlantic uncertainty and encouraging a more transactional approach to international relations.

As we heard recently from the noble Lord, Lord Robertson, we have come to the painful realisation that our military capacity is not what it was and we cannot afford to do much about it in the foreseeable future. In these conditions, the case for Britain to work more closely with its neighbours is compelling. A country of our size cannot best protect its interests and citizens by standing apart from the institutions and partnerships that help anchor stability. That is precisely why the need to work with our European neighbours—and to do so from a position of influence, rather than isolation—has become even more pressing.

In a nutshell, the changes to the world since 2016 have vindicated co-operation, not detachment. The British people can sense that. They can see that our economy and national security are being threatened by the isolation brought by Brexit. That is reflected in the polls by an increasing majority in favour of abandoning the failed experiment of Brexit and rejoining the EU. This is a significant and sustained shift in public opinion. Democracy is not a one-time instruction; it is an ongoing conversation between the public and those who represent them. When the facts change and when the public sentiment evolves, it is our duty to respond.

To rejuvenate our creative industries, to boost growth in our economy more generally and to bolster the stability and security our people need, we must get started now on rejoining the European Union. There is no time to waste.