My Lords, I begin by congratulating the Minister on his re-emergence, which is just in time to celebrate the 100th anniversary of daily broadcasting on the BBC. If, using the TARDIS from “Doctor Who”, Lord Reith could travel to a modern home, he would be amazed by flatscreen TVs, computers and smart speakers, which are all capable of delivering some or all of the BBC’s output. This now includes nine TV channels, 10 national radio stations and a network of local radio stations, a huge web presence and a large archive of programmes—all readily available for just 44p per day.
He would be equally amazed to learn that what he knew as the Empire Service now delivers reliable and trusted international news and other programming in more than 40 languages, projecting soft power around the world. He would be amazed to hear that BBC services reach 492 million people a week, making it the world’s largest broadcaster by reach. He would be impressed by the BBC’s contribution to our world-beating creative industries through investment, skills, training and, not least, BBC-led innovations such as iPlayer, which trailblazed for the global streamers and the creation of a new market for video on demand.
Reith would also see, with Bitesize, CBeebies, “Panorama”, “Frozen Planet”, “Strictly Come Dancing” and the “BBC Proms”, that the principles of “inform, educate and entertain” remain, as does the power to show us what it is to be part of the United Kingdom and to bring people together, as it did during the Queen’s funeral. He would be proud to learn that many believe that the BBC is the best and most trusted broadcaster in the world. It is probably our best gift to the world. Even rivals are complimentary. Netflix, for example, has said:
“The impact that the BBC has had over the last few decades in building the profile of the UK creatively, in nurturing talent, its investment in production and so forth”.
Reith would also learn that we now have other public service broadcasters. We have ITV, STV, UTV, S4C, Channel 5 and Channel 4, which had its 40th anniversary just yesterday. I note that as part of Channel 4’s celebrations it has guest presenters for its longest-running show, “Countdown”, and my noble friend Lady Benjamin in the hot seat this week.
However, with much to marvel at, Reith would also learn, in true “Doctor Who” style, that there are enemies incoming and PSB problems are multiplying. For example, take the Government’s attitude to the BBC. On these Benches, as critical friends, we support a strong, well-funded and independent BBC and oppose attempts to undermine it by seeking to reduce its funding or remit. Yet, we have seen sadly moves by the Conservative Government that have meant the BBC having to do more with less licence fee income. There has been a 30% cut over the past 12 years following the freeze on the licence fee from 2010. There are also rising production costs and new obligations such as funding free licences for the over-75s—a social policy that should be funded by government. Even now, controversial changes to news and local radio stations are being made which other noble Lords will mention. The BBC is rightly adapting to the digital world, but there can be little doubt that changes would have been done differently had its budget not been so severely cut.
My Lords, I too congratulate my noble friend Lord Parkinson on his return to the Front Bench, and I also congratulate the noble Lord, Lord Foster of Bath, on an excellent opening and scene-setting speech to this debate.
I was at an event last night—I believe that the noble Lord, Lord Foster of Bath, also attended—at which the Secretary of State, Michelle Donelan, committed to bringing forward the media Bill very soon. As my noble friend the Minister knows, and I hope agrees, I believe that there is a strong case for a pro-growth media Bill that combines the prominence measures, which the noble Lord, Lord Foster, has just described, with the digital competition measures, which are also critical not just to the PSBs but to newspapers, publishers and UK tech businesses. These measures form part of another long-promised but still-to-be-seen Bill, so I hope that my noble friend the Minister can say something meaningful about all these things when he comes to wind up.
However, as important and urgent as prominence is for public service broadcasters and radio networks on digital platforms and smart TVs, it is also important to be clear that it is nothing more than a short-term solution. Prominence alone is not the answer to the real challenges facing the future of public service broadcasting. As much as we may feel sentimental towards our broadcasting institutions or specific channels, we cannot escape that the PSBs’ share of UK video viewing has fallen from 97% in 2010 to 63% this year, and it is currently predicted to fall to 50% by 2027. The broadcasters are all responding to this challenge: digital first is the main strategic shift that each is having to adopt, which is why prominence is so important. While I would not for one moment suggest that this is easy and without its challenges, this is a commercial imperative or a survival strategy.
When it comes to the bigger challenge of safeguarding the value of public service broadcasting to society, institutional preservation for the sake of it is not the place to start. There needs to be some big thinking about what public service broadcasting means in the next quarter of the 21st century, and the best way to deliver it, taking account of not just the changing viewing habits of audiences, and the young in particular, but the dissatisfaction of some sections of society who feel that their lives and perspectives are patronised and not seriously represented.
My Lords, 1922 was a very special year. It was the year The Waste Landwas published and saw the birth of Philip Larkin and the creation of the BBC—cultural events that echo still to this day. My contribution is going to be about the BBC and my personal experience of it. I first worked for the BBC in the 1950s when I made the sound effects for the horses’ hooves in radio drama. I have gone on to have a varied career in all segments of the BBC, largely working with the creative community, of whom I have a continuing and varied experience. I have been close to them and not to the administrators—of whom the noble Baroness, Lady Stowell, is a distinguished one—so I speak from that community.
What do I see of the BBC now? I see the BBC living in fear. It lives in fear of government and government interference and change for the worst. It lives in fear of the right-wing press and its effect on public opinion, always vocal in damning the BBC for the slightest errors and undermining public trust in a national institution. It lives in fear of the public reputation and in fear of the other platforms and the changing landscape of the world of broadcasting; quite rightly, so it needs handling.
What is the consequence that I perceive in the behaviour of the BBC today? I see it as overmanaged, overloaded with managers trying to answer these fears that it harbours. I see too many people designated to sign off programmes—person after person—to sign off a creative enterprise whose managers are perfectly able to deliver in the first instance. I see a timidity from the BBC, overcautiousness about what you can say and how much daring you can display. The great triumph of the BBC throughout the 1950s and 1960s was its openness to adventure and daring and that is where it culled its huge reputation. Now, it drives away people such as Andrew Marr and Emily Maitlis who are fearful of expressing an opinion for fear of overstepping the new rules that apply.
My Lords, first, I congratulate my noble friend Lord Foster on his masterful opening and my noble friend Lady Bonham-Carter on her success in gaining this slot for our debate. I will not say anything about the return of the Minister, because the last time we shared a debate I congratulated him on his independence of mind and clear thinking, and then he was gone—I will keep quiet this time. What I will say is what a pleasure it is to follow the noble Baroness, Lady Bakewell. She is a proud daughter of Stockport, of which I was an MP, and Stockport is proud of her. I have to be careful about exactly how I describe what she means to my generation, so I will play it safe by saying simply that today’s feisty, self-confident female presenters stand on her shoulders and benefit from the path that she helped to pioneer for women in broadcasting.
This afternoon, as has been said, we celebrate the establishment of the British Broadcasting Company in 1922 and the British Broadcasting Corporation in 1927. Having listened to the noble Baroness, Lady Stowell, I remind us all again that it was a Conservative Government who established the BBC as a public corporation, protected by royal charter, with John Reith’s brilliant mantra—“inform, educate and entertain”—as its mission statement. It is important to remember that it was the conscious will of Parliament to distort the market in this way, as it has done ever since. Indeed, it was under Conservative Governments that the remit of public service broadcasting was extended, by the introduction first of ITV and then of Channel 4, Channel 5 and S4C. It is a reminder to Conservative Members of Parliament, in both Houses, that they do not have be hostile to the BBC.
Because public service broadcasting—and the BBC in particular—has been so successful in its mission it has, as has been said, been under sustained attack on two fronts. Those on the right wing of the Conservative Party hate it because it is publicly owned and well regulated. They are aided and abetted by a clutch of right-wing newspapers, all owned by tax exiles, who lust after the public service audiences—the eyeballs and ears they can turn into hard cash if public service broadcasting can be marginalised, as it has been in some other countries.
My Lords, public service broadcasting works in the UK within a wide framework of duties and responsibilities. These include strict rules on content, range, outreach, implementation and funding. The BBC is also bound by the royal charter, which sets out its objectives, mission and purposes. While we have a free broadcast media, it is monitored and regulated by Ofcom.
The House of Commons Digital, Culture, Media and Sport Committee’s 2021 report The Future of Public Service Broadcasting identified three core principles within public service broadcasting: universality of access, accuracy and impartiality, and freedom from government interference or political pressure. In a subsequent report in 2021, the same committee considered that the Communications Act 2003 had been overtaken by huge changes in online digital broadcasting and should no longer be considered fit for purpose.There is a dilemma: how best to amend legislation which pre-dates the rise of streaming platforms and is therefore outdated, and how new funding models might enable relevant and accessible public service broadcasting to compete effectively with the giant online platforms that remain as yet largely unregulated.
The overall consensus is that new primary legislation is now required to replace the 2003 Act, if only to keep pace with broader industry and economic trends and hundreds of other competing channels and online services. However, all the existing safeguards must be retained and perhaps even strengthened. A media Bill, announced in the Queen’s Speech in May 2022 and foreshadowed in the Government’s White Paper, is likely to encompass the core principles of public service broadcasting—to be renamed public service media—through new regulatory powers to enforce codes for on-demand videos and stricter rules on potentially harmful material. When the Bill arrives, I am sure it will be much debated.
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The Lord Bishop of Leeds
My Lords, I too am grateful to the noble Lord, Lord Foster, for securing this very important debate. Before saying anything further on the theme, I want to express thanks to and admiration for those who prepared the Library briefing. I have been knocking around these issues for a couple of decades, and this briefing is a model of narrative accuracy and concision.
Public service broadcasting in the UK is unique on the planet and one area in which this country is genuinely a world leader, which is why it is so important that, in the centenary year of the BBC and the day after the 40th birthday of Channel 4, we assess the value of what we have and steel ourselves against the ideologically driven impulse to diminish it. Yesterday, I asked a friend who works in public service broadcasting what she would focus on in a debate such as this. Her response was immediate: imagine a world without it. That is, imagine a world in which broadcasting serves only narrow cultural or political interests and is subject purely to commercial or transactional persuasion. I might put it like this: look at broadcasting in the United States. Price is not the same as value.
The broadcasting landscape has changed, as has been noted by a number of speakers, and is changing by the day. Technology drives both the pace and nature of such change, but there remain principles which, if neglected or sold down the river to the highest bidder, will sell our culture short—and not just the UK’s but that of the global audience who rely on the BBC for accuracy and integrity. Does it get it wrong sometimes? Yes, obviously; but it is also open to scrutiny, challenge and critique. To understand the global importance of the BBC and what the loss of soft power might look like, just ask Arabic speakers what they think of the recent decision to close our Arabic service, at a time when it is most needed.
The main point about PSB is surely that, as the report by the House of Commons DCMS Committee makes clear, it is characterised by universality of access, accuracy and impartiality, and independence. It is surely not coincidental that we read on the walls of New Broadcasting House the words of George Orwell:
“If liberty means anything at all, it means the right to tell people what they do not want to hear.”
For this freedom to be guaranteed, there needs to be a well-resourced facility for universality of access, accuracy and impartiality—which is not the same as neutrality—and independence.
Yes, technology has changed everything, and it is timely that there should be some serious scrutiny of legislation for a rapidly moving digital and legal world. But, as I wrote in a newspaper article some years ago,
I join noble Lords in congratulating the noble Lord, Lord Foster, on initiating this debate. We live in an increasingly dangerous world, and the soft power provided by the BBC and the British Council is invaluable. That this Government seem to be increasingly cutting back both the British Council and the BBC is unrealistic and increases the dangers to this country.
During the Labour Party conference, the BBC World Service held a breakfast during which they explained and demonstrated what the World Service was doing in its coverage of news from Ukraine. I am sure they did it at the Tory party conference as well, but it was interesting how the brave reporters of the BBC were reporting on what was happening in dangerous areas of Ukraine.
Many years ago, I paid a brief visit to Myanmar and I talked to some people from a hill tribe. They told me they get one hour of local language news a week, and that is what they live for. That is what they get from the outside world. I was also in China some years ago, and I did what many of us do when we are abroad: I switched on my iPad to get the “Today” programme, allowing for the time difference. All I got was some local Chinese radio stations. Clearly, they did not like the idea of making BBC radio programmes available.
The thing that shocks me most is that there is now a threat to the Persian language service. At a time when the brave people of Iran are demonstrating against their foul regime, risking their lives to speak up for freedom and wanting our help and support, what are we thinking of doing? Cutting back our service to them. That is absolutely unacceptable. Whether it is the Government cutting back on the BBC or the BBC deciding, that is surely the wrong decision. We know that the voice of the BBC, and those of our other public service broadcasters, are the voices of democracy and democratic values—and, indeed, they encourage positive attitudes towards this country.
My Lords, I also congratulate my noble friend Lord Foster on initiating this debate and, in particular, on provoking some fine contributions so far. The much-respected Sir Peter Bazalgette, who has just stepped down as chairman of ITV, said in his Hay Lecture last month:
“Our viewing is so much richer than it used to be and the streamers have hugely enhanced this … Long may we have a system of broadcasting designed to deliver this.”
The streamers have returned the compliment:
“The impact that the BBC has had over the last few decades in building the profile of the UK creatively, in nurturing talent, its investment in production and so forth, is one of the key reasons why we have chosen to make our home here and … why we are such strong supporters of what it does and want to see it continue doing.”
That was Benjamin King, director of public policy for Netflix UK and Ireland, giving evidence to the Commons DCMS Committee back in 2020 in its inquiry into the future of public service broadcasting.
Anne Mensah, vice-president of original series at Netflix, who used to work at the BBC, went further, and I hope that the noble Baroness, Lady Stowell, notes this. She was asked if she thought the licence fee was a sustainable way forward for the BBC in the long term. She said:
“I absolutely believe in the long-term sustainability of the BBC. I love the BBC. I think that it makes some of the best shows, if you look at what it has done this year from ‘I May Destroy You’ to ‘A Suitable Boy’. I back the idea of having a UK creative economy that is built on a number of different models from subscription through to licence. I would hate to see the BBC diminished in its impact in the UK.”
Much the same could be said of the importance of commercial PSBs, such as Channel 4 and ITV. That is why the majority Conservative and Conservative-chaired committee concluded its report by saying:
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Conservative antipathy to the BBC is perhaps not surprising. After all, it was Boris Johnson’s adviser Dominic Cummings who called for the
“end of the BBC in its current form”.
He advised right-wingers to work towards undermining the credibility of the BBC because it is the “mortal enemy” of the Conservative Party. No wonder we have seen repeated attempts to do so from right-wing politicians, think tanks and media organisations—many of whom have a vested interest.
Wider challenges face all PSBs. In return for spectrum allocation and guaranteed prominence on electronic programme guides for linear TV, PSBs are required to meet numerous obligations. These include being free at the point of delivery, providing impartial news and current affairs and distinctly British content, commissioning a minimum number of programmes from independent producers outside the M25 and being available on all platforms.
However, with change occurring at an unprecedented pace, they now face stiff competition from hundreds of other channels and online services. Subscription video on demand—SVoD—services, such as Amazon Prime and Netflix, operate globally, with strategic advantages in financing, data and economies of scale. They have enjoyed rapid success and are unencumbered by such obligations. The effects of this, such as the hyper-inflation of production costs, mean that some PSBs are questioning whether they should remain PSBs. We should be clear about what we would lose: there would probably be less original journalism from ITV and Channel 5, for example, and certainly less British content.
Currently, the PSBs combined produce far more original UK home-grown content than the streamers, producing 35,000 hours in the last 12 months to April, compared with only 831 hours produced by Netflix and Amazon Prime combined. If some channels ceased to be PSBs, it would inevitably lead to a reduction in home-grown content and increased reliance on US-made programmes. As the Select Committee said three years ago:
“Our evidence overwhelmingly indicated that public service broadcasting is as important as ever to our democracy and culture, as well as to the UK’s image on the world stage.”
So we must urgently address the challenges.
The April White Paper, Up Next: The Government’s Vision for the Broadcasting Sector, also recognises the challenges and proposes a range of solutions. I agree with some and disagree with others, such as the plans for Channel 4. But, given the urgent need for action, it is disturbing that there is no sign of the media Bill. On Tuesday, DCMS Minister Julia Lopez said that her department was keen to bring it forward, so can the Minister explain who is blocking it? We urgently need the opportunity to agree measures to ensure that we continue to reap the democratic, cultural and economic benefits of PSBs.
I turn to some of the measures that I believe are needed. The first is really easy and requires no money or legislation: simply stop putting the BBC down. It makes an enormous contribution to our culture and democracy, it is held in great affection at home and it is admired the world over. We should be immensely proud of that achievement. Of course, we cannot be complacent and must exercise vigilance over the spending of the public’s money. But let us not confuse accountability with the kind of full-throated attacks frequently heard in the right-wing press and occasionally, dare I say, from the Benches opposite. We should be more willing to celebrate than condemn.
Secondly, we should think creatively about alternative methods of funding the BBC, while ensuring that it continues to be universally available, free at the point of use and the benchmark for quality, range, innovation and training. I serve on the Communications and Digital Committee, the current and past chairs of which I am pleased to see in their places. The committee’s recent report on BBC funding outlined the options that we felt were plausible substitutes for the licence fee and those that we felt should be dismissed. I will not rehearse those arguments here—others may well do so—but we need careful cross-party consideration of those options to ensure that the BBC continues to be an integral part of British life well into the 21st century.
Incidentally, while the Government may wish to explore a contestable fund for additional high-quality UK-produced material, such as the trial carried out on the young audiences content fund, this should be totally separate from financing the BBC. That financing process should be independent and transparent, whether for the licence fee or for whatever succeeds it. In 2019, the Select Committee said that
“the integrity of the licence fee has been undermined by a succession of settlements which were carried out in secret and which have tended to disadvantage the BBC.”
It is time to end those clandestine negotiations, which are bad for the BBC and the country.
Thirdly, our public service broadcasters play a vital role in bringing international stories to UK audiences, informing them about urgent global issues and connecting them with people, places, events and concerns far beyond our national borders. Such a role is especially crucial given the danger of a post-Brexit Britain becoming ever more inward-looking and insular and so must continue to be enshrined in the remits of all PSBs.
Fourthly, we need to end the nonsense of Channel 4 privatisation. This was a particular obsession of Boris Johnson and Nadine Dorries, with virtually no support from the industry or from audiences. Your Lordships’ committee was clear that launching consultation on privatisation and stating that privatisation was the Government’s preferred option was “not the right approach”. It went on:
“The Government should have set out its vision for the future of public service broadcasting as a whole before examining what place Channel 4 should have in that ecosystem, and which business model it needs to realise that role.”
Yet the current Secretary of State is apparently reviewing the business case for privatisation as we speak, without any of the key decisions about the future of PSB having been made. I hope the Minister can explain why that is.
On these Benches, we are clear that a privately owned Channel 4 would mean a corporate owner maximising its return to shareholders rather than investing in programmes; it would mean less innovation, an inevitable reduction in serious peak-time news, fewer commissions to small, independent producers, and less investment in the nations and regions. Pulling the rug from under Channel 4 will not just impact one broadcaster; it will harm the whole sector. Privatisation was always a solution in search of a problem; it should go the same way as its initial sponsors.
Fifthly, as both BBC and ITV have warned, there is a risk that, soon, “crown jewel” sporting events will be available only on subscription services. I share their view that urgent changes are required to the listed events regime to avoid this happening.
Sixthly, there needs to be a proper inquiry, perhaps led by Ofcom, into which platforms PSBs should be obliged to provide their content to and whether they are getting fair value for it.
Finally, and perhaps most importantly, we urgently need to update the prominence regime so that content from PSBs is easily discoverable in the digital age. There is little point in placing content obligations on broadcasters if audiences are unable to find that content. It is three years since Ofcom called for new legislation to keep PSB content prominent on both linear and on-demand television. Three years on, at last we have the promised new prominence framework in the long-awaited media Bill—yet another reason why it should be introduced as a matter of urgency.
Our PSBs, not least the BBC, are the envy of the world, but they are operating in a rapidly changing landscape. If their reputation is to be maintained, urgent changes must be made to the way we support and regulate them. The proposed media Bill is long awaited. Let us hope the wait will be soon over so we can debate it and then agree measures to ensure a PSB sector fit for the new broadcasting age. I beg to move.
I believe that the broadcasters themselves should take the lead in being radical in the solutions they propose. As politicians, we should be demanding that they be clearer than ever before what the point of them is in this highly competitive media world, and calling on them to set out how the structure of public service broadcasting should change for it to continue delivering value for society. That includes asking whether we still need four public service broadcasters—each independently owned—to deliver distinctively British quality programming that binds us together as a nation. It requires the BBC—as the Communications and Digital Committee has called for—to come forward with its own vision for the future, driven by a clear strategic purpose and costed options for how best to deliver benefit to the nation, as well as how to fund it. The noble Lord, Lord Foster, referred to the report on Channel 4 by the Select Committee I chair—although it was chaired at that time by my noble friend Lord Gilbert—and we were clear that we did not object in principle to its privatisation, although we did question its urgency. If Channel 4 is not to be privatised, it requires its board, if it is to respond to these challenges, to propose new ways for it to be financially sustainable and deliver value that is distinctive from commercial broadcasters. For public service broadcasting to face all these challenges, competition regulators are required to think differently and not repeat the mistakes of the past.
Finally, it requires us, as politicians, not to blindly defend the status quo or engage in a political battle about the licence fee or Channel 4 privatisation, which only encourages the BBC or Channel 4 to keep their heads down and hope that, if we keep fighting, big decisions about funding or ownership models will remain unmade. Clearly, financial pressures are forcing the BBC and others to make changes now, ahead of any long-term strategic decisions, but these seemingly piecemeal decisions serve to illustrate the danger of the BBC waiting to define its strategic purpose to inform decisions about how it needs to change. We might worry about changes to, say, local radio, because we cannot see how they relate to a bigger picture.
It is because I believe in the importance of public service broadcasting to a cohesive society and our prosperity as a nation that I am demanding radical thinking about its future. I do not want solutions to be left to us politicians; I want the broadcasters themselves to be emboldened by us to lead the way and to depoliticise the debate. We all need to recognise that this is urgent and that raising these questions is not some kind of attack; it is the only way of safeguarding something that is important to all of us. I hope that my noble friend the Minister—back in his rightful place—can give me some assurance that the Government understand this and are acting accordingly.
I wish—and this is not the arena to say this—that the BBC had more courage to face down these fears. I call on the Government to endorse the values that existed at the founding of the BBC. I interviewed Lord Reith in this building at the end of his life when he expressed to me how much he regretted that jazz had ever been allowed on the radio. He felt that it was the beginning of the corruption. You can be wrong.
I would like the Government to acknowledge positively the role of the BBC today. The BBC has a global brand, an enviable one in the world of brand making; there is nothing to match it. It has global reach: it reaches into Ukraine; it reaches into China; it reaches everywhere, and it has a say. It is a soft power of incalculable value. Ask any of the diplomats. Ask our foreign embassies. They will tell you how much the BBC is valued as part of our diplomatic contribution to the world.
What is more, the BBC has the trust of the public. The public snipe at the BBC; that is what you do with those you love. Overall, the approval rating for the BBC is extremely high, and it is very precious. Unless we endorse it in a positive way, unless the Government say how they agree with the values of the BBC, then it will slide down the reputational ladder in our society. We cannot afford for it to lose heart and to give way to these fears that it harbours. I call on the Government to endorse the BBC and its values and encourage it to hold fast.
Meanwhile, we have to face the fact that, for the last decade and more, the BBC, under successive Governments, including the one of which I was a member, has had to manage successive squeezes on its funding. As has been said, the BBC has had to manage a 30% cut in its funding over the last decade. At the same time, the BBC has had to take on, as my noble friend Lord Foster said, tasks such as funding licences for the elderly, and the BBC World Service, neither of which should be charged to the licence fee. Unfortunately, the BBC insists on presenting all aspects of its cost-cutting as part of some shiny new vision in this new digital age. The corporation should be more up front about its various reforms and contractions and the very real funding constraints that it faces.
This morning, I sat in on a briefing by the BBC on the changes being planned for local radio. The proposals received a rough ride from a cross-section of Labour and Conservative MPs, all jealous to protect their local services—and rightly so. But there was an elephant in the room: if not local radio, where should the axe fall? The truth is that there is only a limited number of services that cutting Gary Lineker’s salary can cover.
The problem with understanding what the BBC is doing across the board is that it means we are acquiescing in a steady marginalisation of the BBC—the very agenda that Rupert Murdoch and other financial interests, along with the right wing of the Conservative Party, want to see.
I am particularly concerned by the proposal for it to close the BBC News channel and BBC World News and replace them with a single, global-focused channel next year. To lose a 24/7 UK news channel when major commercial competitors are tooling up to provide opinionated news channels is a major retreat by the BBC. I hope that Ofcom will examine these proposals with all due rigour and use the public interest powers that the Puttnam committee, of which I was a member, put into its arsenal at its formation 20 years ago. Meanwhile, parliamentarians in both Houses and the parties they represent have to be clear about the future funding of the BBC and the protections offered to it and other public service broadcasters.
Most of all, we need a clear commitment that public service broadcasters, and the BBC in particular, will have the support they need to continue to provide the iron pole of quality around which the ecology of our creative industries can flourish.
Meanwhile, the BBC is the only major provider that relies entirely on the annual licence fee, which makes it uniquely vulnerable to political pressure. As we have heard, the BBC licence fee is currently frozen and remains under review, but it is 30% lower in real terms than it was a decade ago. The BBC has found savings approaching £1 billion over the past five years, but it will need to reduce its budget further, by approximately £300 million, before the end of this decade. However, reorganising and recreating models that satisfactorily relay public service broadcasting on both linear and online services will be very expensive.
While acknowledging the fall in listener and viewer numbers in the past five years, the BBC remains a key public service broadcasting provider around the world and the BBC director-general has announced plans to deal with competition and reduced budgets, staff and broadcasting hours while maintaining its crucial public service broadcasting role. These plans, which anticipate the closure of the BBC News channel and BBC World News, the latter funded by subscription and advertising, in favour of a rolling news service, will be fiercely resisted—not least because the new service will be a commercial venture and potentially therefore precluded from licence fee funding.
Colleagues in this Chamber have spoken, and no doubt will speak, with warmth and affection about the BBC World Service and its immense soft power. This is not, I would say, sentimentality; it is a hard, factual appreciation of the gem we have. I remember being extremely moved many years ago in Khartoum when that city simply went silent in order to listen to the 1 pm news, and not much has changed; I think that still happens the world over. In more recent times, the figures for listeners have shot up during world crises such as the Russian invasion of Ukraine. The reasons for this are obvious but worth restating: in an environment of disinformation, misinformation, half-truths and fantasy, the BBC is trusted.
The world’s most respected broadcaster and one of the UK’s key democratic institutions faces a bleak future in the absence of realistic funding. If public service broadcasting is to be given the importance to our democracy and to our culture that it deserves, together with the cost of maintaining linear broadcasting and expanding online on-demand services, it is vital that the Government provide sufficient funds. It is astonishing to me that the Government would even think of limiting or undermining such a powerful channel of UK influence. Instead, they should be ensuring its long-term security, to enable the BBC, including the World Service, to streamline its public service broadcasting for future decades.
“If the BBC needs to hear what it doesn’t want to hear, then the politicians who want to reform PSB cannot exempt themselves from scrutiny of their motive. Diminishing those who challenge the integrity or motivation of governments or their policies is what happens in countries that are not admired for their democratic credentials.”
As we have heard, PSB is not the sole preserve of the BBC. The landscape has changed; there are different media with differing offerings, which are funded by different models. This provides a balance that is precarious and must be respected. Please can the Minister update us on the future of the media Bill, particularly the threat to privatise Channel 4, which is a clear success story of the last 40 years and for which there is no popular mandate to privatise?
Following the appointment of the new Prime Minister, the Government said the Secretary of State was
“carefully considering the business case for a sale of Channel 4”.
Might I suggest that business is not the only case to be considered here?
The Minister might like to help us with further questions. For example, how will the current drastic squeeze on BBC local broadcasting impact local democracy, community cohesion and accuracy of reporting? How will the drastic squeeze on the BBC World Service, and its consequent reduction in service, impact UK soft power in parts of the world where our reputation as a leading democratic and free nation is fragile, and matters?
Young people are accessing the BBC less than ever, but does this not emphasise the need to reach them more effectively with PSB, rather than simply diminishing its resources according to some numbers equation that takes little account of power that cannot be cashed out in a profit and loss spreadsheet? If PSB is reduced as a source of public funding—my assumption here is not incidental—what does this say about the encouragement and nurturing of a new and younger generation of journalists and programme makers who need to embody cultural values, not just technical skills? Do the Government value the fact-checking credibility of the BBC in a world being flooded with disinformation, with a serious impact on truth, democracy and culture?
A reform of legislation may be needed in the wake of radical technological change, to say nothing of the wild west of digital streaming and social media, but please will His Majesty’s Government commit to ensuring the cultural and democratic future of PSB in the UK, in order that we do not lose what has taken a century to build, but could be lost in weeks?
As I understand it, the BBC is the biggest global news provider: 36% of people listen to the BBC; 67% of global business decision-makers use it; and its reach is nearly 500 million people. As has already been said, the BBC is now facing cuts of 30% compared with a decade ago, and I understand that the threat to close the news channel and BBC World News and create a new rolling news service will mean 70 fewer journalists. The BBC cuts threaten 450 posts altogether.
Are we not damaging one of the most powerful institutions in this country in seeking to weaken the BBC? We have already lumbered it with the licence fee for over-75s, and there is a freeze on its future income. There is a debate, encouraged by the Tory party, on whether the licence fee should survive at all, and local radio is also threatened. This is not the way forward. The potential cuts apparently represent a loss of about £5 billion, with possibly 50,000 jobs to be lost.
What about the independent production sector? We have one of the most vibrant such sectors in the world, and it relies heavily on the BBC for investment, training creative talent, apprenticeships and so on. That will be weakened. We have creative industries all over the country, in Salford, Bristol, Birmingham, the north-east and elsewhere, and they are also being threatened.
The BBC is such a valuable institution. As has been mentioned already, anybody who goes to the States and watches and listens to what is on will find Fox News. Heaven preserve us from Fox News; it is like an old Soviet propaganda-style broadcaster. Let us be grateful that we have higher standards here so far.
Channel 4 also supports the independent production sector. I do not understand the ideology that drives forward the wish to privatise Channel 4. It does not cost the public sector anything, and it provides a decent service. If the Government proceed to privatise Channel 4, what assurance can we have that it will not be bought by one of these American companies, or other companies? What is the benefit to us as individuals or as a country if Channel 4, a successful broadcaster, is bought by some overseas company? What is the point of that? What is the benefit? None at all. Of course, the public service broadcasting sector also covers ITV, which is doing pretty well.
So we seem to be moving backwards. Please let us think again before we throw away some of the most valuable features of life in this country.
“The strong, varied public service broadcasting ecology in the UK has played a significant role in the growth of the production sector in the UK. PSBs have been described as underpinning the wider creative economy and whilst SVoDs are beginning to invest more in production in the UK, the number of UK-originated content hours is hardly comparable.”
It is clear that we need a plurality of provision. Each has an important place in our broadcast ecosystem and they are interdependent. They rely on different funding mechanisms and that is a strength, not a weakness.
As Ofcom’s recent report into how the PSBs have delivered for UK audiences states, the amount and range of first-run original UK programmes on the PSBs
“far outweighs what is available on other commercial broadcast channels and the global streaming services.”
It also notes that the streaming services
“do not offer the same mix of original UK content as broadcast services, consisting of predominantly US produced drama and comedy programmes”.
The report, Public Service Broadcasting: As Vital as Ever, from the Select Committee on Communications and Digital—whose chair and former chair are present—concluded that
“TV which reflects UK culture is in demand at home and abroad. However, changes in the market may make the future of individual SVoDs and TV services uncertain. New entrants complement but cannot replace public service broadcasters, which guarantee continued investment in a wide range of original UK content no matter the state of the global market.”
Libby Purves, at the end of her insightful and far from uncritical article on the BBC last month in the Times—“Happy 100th, BBC, You Dear Old Monster”—wrote:
“Something must be done to keep the best of the BBC both safe and independent. Finding it is a serious job for serious politicians, if we ever get any again. And they should remember that every investigation and commission into the corporation has led, however reluctantly, to the conclusion it has unique value.”
I was here in 1999, when the noble Lord, Lord Bragg, concluded his splendid opening speech in a debate on the BBC. He said:
“For over 75 years the BBC has stood for something singular and been seen to be singular. If that goes the BBC will eventually go and a great chapter in our social and cultural history would have come to an end. It need not be like that. But the dangers are clear and the time to act is now.”—[Official Report, 3/3/1999; cols. 1668-69.]
Let us not keep repeating history, but recognise once and for all the huge value and quality in the variety of broadcasting we have, the core of which is our public service broadcasting.
In this light, I believe in particular that the media Bill and government policy should—to ensure that variety, diversity and quality in our broadcast services is included—definitely not contain the privatisation of Channel 4 which, as we have heard, is celebrating its 40th anniversary. As we noted earlier, it was created by a Conservative Government. The Bill should give Ofcom the powers promised in the White Paper to draw up and enforce a new video on demand code, to ensure that television-like content will be subject to similar standards regardless of how it is accessed, so that that age ratings used by all VoD services must meet the three criteria set out in the Government’s consultation response. It should reinstate the BFI young audiences content fund and—as recommended by the Commons Digital, Culture, Media and Sport Committee—reform rules around prominence, legislate to give a remit to the digital markets unit over PSB content and plurality in broadcast media, and extend the requirements for diversity reporting to streaming services. I hope the Minister will confirm that the Bill will contain that.
Public Service Broadcasting: BBC Centenary · Order Paper · Order Paper