1. What assessment she has made of the potential merits of requiring venues to introduce a surcharge on large event tickets to support grassroots music venues.
I pay tribute to my right hon. Friend the Member for Maldon (Sir John Whittingdale) for supporting my maternity leave. The chance to raise a tiny child is fleeting and precious, and his superb stewardship of my portfolio granted me that gift. One of my big worries on standing for election and then becoming a Minister was that it might prove incompatible with starting and now expanding my family. I simply say to other women who want to get involved in public life, “Do not be afraid. There is a lot of talk of barriers, but service and motherhood are compatible privileges.” As my right hon. Friend the Member for Norwich North (Chloe Smith) said so encouragingly to me, you can do it.
Grassroots live music venues are the talent pipeline of our music industry. We are supporting them with funds and rate relief. We have no plans for a Government-mandated ticket levy, but we encourage industry discussion.
I welcome the Minister back to her place. In Edinburgh, we benefit from a plethora of small venues that depend on the Edinburgh Festival to survive. We also have big events every year. At the moment all the excitement, even in my household, is about Taylor Swift coming to the city in June, but we recognise that small venues—the Music Venue Trust says 10% currently struggle to survive and depend on grants from it—do not get any benefit from big gigs. Will the Government consider a levy to support smaller venues, because without them we will never have the Elton Johns, the Queens and the Taylor Swifts who use them to learn their craft, develop and benefit our economy and culture.
The hon. Lady is absolutely right that grassroots venues are the talent incubators of the music industry. She will be aware that the Chancellor gave a substantial amount of money at last year’s Budget—up to £7 million for a new hub for the Edinburgh Fringe because of that talent pipeline—for the Edinburgh Fringe and the Edinburgh Festival. We are doing what we can with various different pots of money, but we also think there is room for the industry to find a solution on ticket levies. We think it is probably best for the industry to do that, rather than mandate it as a Government.
I welcome my hon. Friend back to her place. In 2023, across the country, not just in Edinburgh, live music boomed, with some 22 million people attending gigs, yet 76 small venues closed—more than one a week. I draw the Minister’s attention to an analogy with another hugely successful leisure industry, football, where a small amount of the enormous riches gained by the Premier League is allowed to trickle down to the grassroots so that the future of the sport is preserved. Just as with football, we have hugely profitable large arenas where the superstars of today perform and create huge revenues. A levy on the tickets from those sorts of shows—[Interruption.] I am sorry, Mr Speaker; I am very passionate about this—would help small venues to produce the superstars of tomorrow, so will the Minister take a positive attitude towards a levy?
My right hon. Friend has made his point well, if not briefly. We agree about the importance of grassroots music, which is why we have given another £5 million to the supporting grassroots music fund, but we are also in close touch with the Music Venue Trust, which has a great initiative called “Own Our Venues”. Arts Council England is helping with the purchase of some of the freeholds of these venues. We support that as well, but we think there is more scope for the industry to lead a solution, and we are backing talks between different parts of the industry.
The music industry is just about the most unequal sector in the whole of society. Those at the bottom—the vast majority—earn an absolute pittance, while those at the very top have unimaginable earnings. Surely we should be doing everything possible to try to change that. It is the sensible option: they do it in France, and the Scottish National party Government are considering doing it in Scotland. Will the Minister support that effort and initiative in Scotland, and if it shows that it can help redistribute some of this money, will she follow that example?
I thank the hon. Gentleman for telling us what the Scottish National party is doing. I had understood that it was cutting a substantial amount from the arts budget. We have been supporting, for instance, the Edinburgh grassroots hub. I think there is a great deal of appetite in this place for a solution; I also think that the best option is for those in the industry to get together, and we are backing discussions of that kind. Indeed, before I went on leave I talked to Mark Davyd of the Music Venue Trust about the issue.
I, too, warmly welcome the Minister back to her place. She mentioned the £5 million for the supporting grassroots music fund, and that is greatly welcomed, but let us be clear: festivals, rehearsal spaces and independent promoters are also eligible for the fund. That is a lot of mouths to feed. They are all important parts of the ecosystem, and they all need funds. In real terms, this is a tiny amount of money for grassroots music venues. Is my hon. Friend pushing the Treasury to expand that funding to ensure that it can go further?
I thank the hon. Lady for drawing on her expertise in this regard, and for the work that the Select Committee is doing. I am going to provide that dreadful answer: ahead of the Budget, we will be discussing all these matters with the Treasury.
Let me begin by welcoming the Minister back to her place. Since 2012, the Conservative Government have introduced tax reliefs for the creative industries year on year. That is one of the reasons why the creative industries are growing at twice the rate of the rest of the economy, and why they are world leading. The Labour party opposed every single one of those tax reliefs, and despite its warm words it offers no substantive action.
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As my right hon. and learned Friend says, since we came to office we have introduced a number of tax reliefs that have supported children's television, video games, production, galleries, orchestras, theatres and museums. It is for the Chancellor to decide on tax policy, but can my right hon. and learned Friend tell us what more she can do to make this go further, to ensure that we remain one of the world’s leading production venues?
We have indeed introduced many tax reliefs, and since we came to office I have instigated and backed the introduction of tax reliefs and other support for the sector. Independent film making has been supported with more than £60 million of Government and national lottery funding, and I have recently spoken to representatives of the independent sector to establish how we can provide further support. However, as my hon. Friend has pointed out, matters of tax are ultimately matters for the Chancellor.
Deidre Brock (Edinburgh North and Leith) (SNP)
I have a suggestion for the Minister. When I met several film, television and advertising companies in my constituency recently, they pointed out that Malta and Mauritius have a 40% rebate which also covers commercials, and that Ireland will be following suit with a 40% rebate on reality TV and game shows. These are the bread-and-butter products of the industry, and they have a huge impact on local areas where filming takes place. The UK is falling behind in this respect. What discussions is the Secretary of State having with the Treasury and other colleagues about the matter?
I assure the hon. Lady that I have regular discussions with the Treasury and the industry about how we can continue to support this vital sector. We are not falling behind. We are world leading, and we need to maintain that competitive edge. Our screen sector tax reliefs are estimated to have delivered over 200,000 new jobs and more than £13 billion in economic output.