Supporting UK Artists and Culture

Margaret Hodge Excerpts

Tuesday 22nd November 2022 Westminster Hall

[Dame Caroline Dinenage (Gosport) (Con)]

I beg to move,

That this House has considered the matter of supporting UK artists and culture.

It is a huge pleasure to serve under your chairmanship, Mr Hollobone. The UK is an international cultural powerhouse. Our arts and creative industries have the capacity to regenerate communities and to drive global exports, and to put a boot up the backside of our stagnant economy, but it feels like we have not always supported or nurtured our world-leading creative talent as we should as a country, or understood our arts and culture as the golden economic goose that it is.

Just look at what the sector currently contributes to the UK. Our creative industries employ 2.1 million people and contribute £116 billion to our economy each year. UK exports were worth more than £37.9 billion in 2019—12% of total UK service exports. The creative industries also help shape the UK’s image around the world. British musicians, artists, writers and actors command a global audience, while many of our cultural beacons draw millions of visitors into the UK. As soft power goes, there is simply nothing like it. That is why we must never underestimate the potential of our arts and culture, and the vital role of its people, the creators and performers, who underpin this success story.

Globally, some modern emerging economies really get this. South Korea’s creative industries have taken the world by storm, with K-pop and drama, from “Parasite” to “Squid Game”, at the forefront. What makes that even more remarkable is the fact that the language is barely spoken outside of Korea. Just as South Korea implemented industrial policy for the export of electronics, cars and chemicals, it applied a policy approach to develop its creative industries. In less than a generation, South Korea transformed from being effectively a third-world country to an industrial powerhouse and the world’s seventh largest cultural player, with its creative cultural sector making nearly $11 billion in exports and supporting 700,000 jobs last year.

Meanwhile, dedicated music or creative industry export hubs have been springing up in countries across Europe, funded by Governments and industry keen to ride the wave of this growing market. At a time when worldwide recorded music trade revenues are set to double by 2030, British music exports could increase to more than £1 billion by the end of the decade. That will require a supportive policy environment that maximises UK export potential against a backdrop of intensifying global competition.

Funds such as the music export growth scheme will be crucial, but we also need a hardcore strategy to underpin this. What do the Government have in mind? Could they look again at the idea of dedicated British music or creative industry export hubs to drive this forward, because at the moment the support is simply not good enough? A creative industries trade and investment board website has had only three posts in the past 12 months, and the Creative Industries Council has just one upcoming event over the next 12 months advertised on its website.

By its very definition, this is an innovative and agile sector. That was demonstrated during the pandemic in how some organisations swiftly pivoted to using digital to ensure that the band played on. One example is the Bournemouth Symphony Orchestra, which responded to the first national lockdown in 2020 with an exclusive series of live concerts streamed online. During the first six months of this series, it increased its audience by almost 30%, with 65,000 views by audiences around the world. We have digital innovation to thank for that.

Digital has completely transformed how people consume culture and driven appetites for cultural works. A recent survey showed that 81% of people think that accessing cultural works through a digital device is important to their daily lives. Despite this shift, there has not been a corresponding benefit to artists, many of whom operate as creative freelancers. That is why more than three quarters of survey respondents support the Government considering new ideas and initiatives to sustain the UK’s creative industries.

The public understand and value our culture and our creative talent. They also see the huge difference that culture can make in their local neighbourhoods. Funding the arts delivers investment in left-behind communities and aids economic regeneration. There are no two ways about it. There is evidence right across the country. For example, in Margate, thanks to the legacy of local artists such as Tracey Emin, the Turner Contemporary opened in 2011 and has contributed more than £70 million to the local economy in the last decade. This week, I will be really pleased to attend the reopening of Gosport Gallery, part of Hampshire Cultural Trust. That was a massive regeneration project funded by high street heritage action zones. We thank the Government so much for that investment, because it is breathing new life into our beleaguered high streets.

There is no doubt that the Government recognise how arts and culture can be a significant driver of levelling up, and I welcome the recognition that redistributing some of the national Arts Council spend away from London to the regions is a way to achieve that. However, I am going to urge a little bit of caution on the Minister: it needs to be done in a way that supports investments in projects and organisations that can genuinely start a snowball of growth, not as a tick-box exercise and certainly not as tokenism.

Much as I would love to see English National Opera relocate to Gosport, under the current proposals the out-of-London version will receive significantly less funding than its current form, so it will have to stop funding projects like ENO Breathe, its game-changing response to long covid. That has been operating in 85 NHS trusts across the country, including my own. The current proposal risks the work that the ENO has been doing with schools across the country, and it could stop it being able to offer free or discounted tickets to a younger audience. That work means that one in seven of its attendees is now under the age of 35. In fact, it risks the organisation becoming the opposite of what we want and the opposite of what it is—it risks it becoming an elite organisation for those who can afford to pay £300 for a ticket, albeit one outside London.

[Dame Margaret Hodge (Barking) (Lab)]

I am very pleased to rise under your chairship, Mr Hollobone. I congratulate the hon. Member for Gosport (Dame Caroline Dinenage) on having secured this debate. I should declare an interest, in that I chair Theatre Royal Stratford East, in London. I wanted to come in on the issue of English National Opera and the cut that will mean the closure of an absolutely unique facility in London. Does the hon. Lady agree that one cannot level up by destroying excellence? We have to embrace excellence and ensure that it is enjoyed throughout the country.

Will the hon. Lady also join me in congratulating the ENO on partnering with Theatre Royal Stratford East to put on a production of “Noye’s Fludde” by Britten? We engaged a lot of young children from east London, who need as much levelling up as those elsewhere in the country, and we managed to secure out of that an Olivier award.

[Dame Caroline Dinenage]

The right hon. Lady makes an excellent point. The ENO has been groundbreaking in the way it has appealed to younger audiences and reached out in partnerships. It has done TikTok videos seen by hundreds of thousands of people. It has even done beatboxing in a car park. It has done virtually more than anybody to bring opera, which is often regarded as a bit of an elitist art form, to the masses and to a newer, younger audience. It will be a disaster if such organisations —not just the ENO—lose that unique identifying factor in the move. I have nothing against driving investment outside London, but we have to do that in a careful way and not as some form of crazy tokenism. I therefore ask the Minister to look again at giving the ENO more time and more resources to deliver the appropriate change and to continue its excellent work.

We also have to face the fact that we cannot rely exclusively on public funds to support the creative industries; we need new ideas. Funding and income streams across the UK remain a massively pressing issue—the Minister will know this—with most creators and performers earning less than the minimum wage. A strong copyright framework is a key element. Freelance creators and performers rely on royalties from the use of their copyright-protected works in order to earn a living, but they are currently not receiving fair remuneration when their works are copied, stored and shared digitally. I therefore ask the Minister to look at the Smart fund proposal to address that. It is suggested that in the UK it could raise up to £300 million a year for creators, performers and communities. Similar schemes already operate in 45 other countries, generating almost £1 billion a year globally. They do so by diverting a small percentage of the sales of electronic devices, which copy, store and share creative content, into a fund that is paid out to creators and local community projects, with a focus on digital creativity and skills.

The benefit of such a scheme is huge for creators. In France alone, it raised over £250 million in 2021, supporting artists and funding almost 12,000 cultural activities a year. Most importantly, there is simply no evidence that when tariffs change, device prices change, too. The potential for something similar for communities in this country is huge, and I ask the Minister to look at it. It is also supported by the Design and Artists Copyright Society, the British Equity Collecting Society, Directors UK, and the Authors’ Licensing and Collecting Society, which represent over 330,000 creative workers between them. Will the Minister meet representatives of the creative organisations that support the Smart fund to discuss this issue?

Our artists and creatives have a unique power. They can lift spirits and boost wellbeing, and they can regenerate communities and promote levelling up. They can drive economic prosperity and turbocharge global trade. No other sector can do all those things. No other sector has such a strong track record of delivering for the UK economy or so much future potential, so I urge the Minister to leave no stone unturned in efforts to harness that potential.

--- Later in debate ---

[Nickie Aiken (Cities of London and Westminster) (Con)]

It is a pleasure to serve under your chairmanship, Mr Hollobone. I thank my hon. Friend the Member for Gosport (Dame Caroline Dinenage) for securing this important and timely debate.

I am incredibly proud of the vibrant arts and culture offer of my constituency, from the west end’s theatreland to iconic live music venues such as Ronnie Scott’s, the 100 Club or Heaven, as well as the Barbican centre, the Royal Albert Hall, the Royal Opera House and the London Coliseum. According to the Office for National Statistics, 8% of arts and culture businesses are based in the Cities of London and Westminster—over 2,500 businesses. In the time I have, I will pay particular attention to how we can support arts and culture through an incredibly difficult time.

When we look at how we can best support the future of the sector, forward planning is key, especially post covid. Its importance has been made clear to me throughout covid and more recently, during the ongoing decisions on the future of the English National Opera, which is based in my constituency. It is good to see the ENO’s chief executive, Stuart Murphy, in the Public Gallery.

[Dame Margaret Hodge]

Does the hon. Lady agree that there is a real misunderstanding about how much money is invested in the arts in London? That investment is brilliant, but there is a misunderstanding about it. First, it includes national institutions such as the British Museum, which should not be included. Secondly, the audience for London entertainment comes from the south-east, and the south-east gets hardly any money from Arts Council England. If one were to incorporate the two, one would see that the funding per capita in London is equivalent to the funding per capita in the rest of the country.

[Nickie Aiken]

I thank the right hon. Member for her very salient point. Given the funding, or lack of it, from Arts Council England, the future of the ENO is dependent on two factors. The key driver is to move out from its current location at the London Coliseum. The debate on cuts to funding could be a standalone issue, so I will not stray into its complexities right now. I will take that up when I discuss ENO funding with Arts Council England this week.

Right now, what I hear is that one of the major issues the ENO faces is not necessarily a prospective move, but the tightening of timescales and a lack of due consultation. My hon. Friend the Member for Bromley and Chislehurst (Sir Robert Neill) mentioned the lack of consultation with the ENO. In fact, Arts Council England expects 20 weeks, between now and April, to be enough for the ENO to start making decisions about its future.

Although I appreciate that a funding decision must be made, moving the ENO in its entirety is a big misstep. As we have heard, it will take five years at least. Is Manchester the right place? I personally want consideration to be given to the model used by the Royal Shakespeare Company, which has a base in the Barbican centre and in Stratford-upon-Avon. That works well: it keeps the London offer, but goes out into the provinces. I cannot see why Arts Council England should not work with the ENO to discuss that type of move, which would keep the London Coliseum alive while perhaps not moving the ENO up north. We have a brilliant Opera North organisation. What about the west country? What about Bristol, Exeter or Plymouth? Those areas need levelling up. Why cannot Arts Council England work with Stuart Murphy and his team to give proper consideration to that?

--- Later in debate ---

[Stuart Andrew]

I take on board my hon. Friend’s points and will come on to some of them later on. The economic growth that creativity can catalyse should be seen in all our towns and cities, and the pride of place that culture and heritage can bring to communities should be felt across the entire country. That is why we asked Arts Council England to invest more in its levelling up for culture places. That is why we are investing across England through the cultural investment fund. That is why DCMS and its arms-length bodies have been supporting the assessment process of the levelling-up fund which, importantly, has culture and heritage as one of its three priority investment themes.

As hon. Members will know, central to all that support is our delivery partner Arts Council England. It has recently announced the outcome of its 2023 to 2026 investment programme, which will be investing £446 million each year in arts and culture in England. That will support 990 organisations across the whole of England—more than ever before and in more places than ever before—with 276 organisations set to join the portfolio, 215 of which are outside London. That, for example, includes £500,000 for the Hampshire Cultural Trust on an annual basis. Its application was focused on expanding the organisation’s work in three of Arts Council England’s priority places, including the constituency of my hon. Friend the Member for Gosport, along with Rushmoor and the New Forest. The trust described the decision as “a landmark day”.

[Dame Margaret Hodge]

Will the Minister give way?

[Stuart Andrew]

I am afraid I am running out of time. I have been asked a lot of questions, and I need to get through them all.

In short, I am unapologetic that the Arts Council is providing support to more organisations in more places than ever before for the following reasons. First, it is providing more opportunities for children and young people. There will be a 20% increase in organisations that are funded to deliver work for children and young people in the new portfolio and 79% of the new portfolio will deliver activity specifically for children and young people.

Secondly, it is supporting more libraries and museums than ever before. Funding for libraries will increase nearly three-fold and 223 accredited museums will receive a total investment of more than £113 million over three years, representing an increase of 21%.

Thirdly, we will see an increased investment in 78 previously underserved places, totalling £43 million each year and representing an increase of 95%. Places such as Blackburn, which never got a penny before, will now have four projects supported. That is something I certainly support.

I understand that some hon. Members may disagree with the decisions taken by the Arts Council in recent funding announcements. The individual decisions were taken by the Arts Council, which assessed an unprecedented number of applications. The decisions are therefore for the Arts Council to comment on. However, I am sure my hon. Friend the Member for Gosport will agree with me that, stepping back and looking at the whole picture, it is exciting to see a portfolio that gives people right across the country more opportunities to access culture on their doorstop. The new portfolio supports both new and more established organisations to develop and thrive.

I turn to the English National Opera. There were a record number of applications, and it was a competitive fund. I recognise that leaving the portfolio can be a difficult process for organisations, their employees and their audiences. While I cannot comment on the specifics of individual funding decisions that were taken independently by the Arts Council, ACE has proposed a package of support to the English National Opera. The Department is very keen that Arts Council England and the English National Opera work together on the possibilities for the future of the organisation. My noble friend Lord Parkinson, the Arts Minister, has been very keen to hear the views of Members in the debate today. I will ensure that he will be aware of the points raised.

A number of other specific points were raised. The Creative Industries Council has been a key partner in supporting the creative industries. It has provided a forum for us to engage directly with the industry on the challenges and opportunities they face, and we worked together to deliver the 2018 sector deal. It has been our partner in developing the creative industries sector vision, which will be published in the new year. I welcome the points raised by my hon. Friend the Member for Gosport.

On creative exports, UK creative industries were identified in the Government’s export strategy as a priority sector to contribute to the Government’s target of £1 trillion of UK exports by 2035. The Government are not currently pursuing an export office, but continue to support creatives exporting to Europe and the world with a range of export support programmes, including the successful music export growth scheme and the international showcase funds. We will continue to work with the Department for International Trade on these important issues.

I am conscious of the time, so I will have to write to hon. Members about several issues. On the Smart fund, the Minister of State, Department for Digital, Culture, Media and Sport, my hon. Friend the Member for Hornchurch and Upminster (Julia Lopez), has already met with industry bodies to learn about the proposals. I will make her aware of the comments made in the debate today.

Finally, the hon. Member for Cardiff West (Kevin Brennan) asked me to read the APPG report, which I am more than happy to do; again, I will raise the issue with the appropriate Minister.

I thank my hon. Friend the Member for Gosport again for bringing this debate forward. I am grateful for the opportunity to listen to Member, and I will make my colleagues in the Department aware of the points raised strongly today. I am aware of the impact of the pandemic on the arts and culture workforce and how many left the sector as a result. The best way we can bring those people back and attract new people in is to help drive growth. Ultimately, we want to drive that growth across the entire country.