Broadcasting — House of Commons, 2016-10-18
Topic: Culture
Damian Noel Thomas Collins (Conservative, Centre-right): I welcome the Secretary of State to this debate, although it is not her first as Secretary of State. I thank her for her consideration of the Select Committee’s report and the recommendations during the finalisation of the charter process. I also thank her predecessor, my right hon. Friend the Member for Maldon (Mr Whittingdale), for the consideration that he gave to the Committee and its work in preparing the royal charter while he was Secretary of State. I welcome the hon. Member for West Bromwich East (Mr Watson) to his place. I know from our time together on the Culture, Media and Sport Committee in the previous Parliament that he will bring all of his great passion and energy to his new role. I look forward to seeing and hearing his contributions in these debates over the coming months and years. The speech by the hon. Member for Garston and Halewood (Maria Eagle) reminded me of the programme, "Civilisation". In 1969, the great art historian Kenneth Clark produced an epic series of 13 50-minute-long episodes—a gargantuan undertaking—all about the nature of civilisation. He started off that great series by asking the rhetorical question, "What is civilisation?", to which he replied, "I don’t know, but I think I recognise it when I see it." The same formula could be applied to the idea of distinctiveness at the BBC. It is incredibly difficult to define, but somehow we recognise it when we see it. We want a BBC that, in celebrating its great ingenuity and creativity, takes risks that no other broadcaster would take. I am sure that the hon. Member for West Bromwich East agrees that putting Ed Balls in sparkly clothing and making him dance at peak time on a Saturday is something that no other broadcaster in the world would do. The BBC does it well and makes a success of it, and we celebrate its uniqueness It is right that along with assessing the BBC’s value for money, the decisions of its executives and how much money they earn, we also continue to apply the threshold of asking, "Is the BBC being true to its creative values? Is it continuing to be distinctive enough and to deliver across the great breadth of its programming, because of the unique way in which it is funded, something that no other broadcaster could do?" The BBC is one of our great national institutions. It is loved by everyone in this country, but that is because it has adapted and changed with the times. It has applied its creativity and ingenuity to the great breakthroughs in broadcasting, be it television, the internet, or the great breadth of digital services that it offers now. It has moved with the times and stayed close and true to its values The process of royal charter renewal every decade or so, the next one being in 11 years’ time, is about looking at not just what is best about the BBC that we should conserve and preserve for the future, but how we want it to adapt and change in the future. At the heart of the process has been a desire for much greater transparency in the way that the BBC operates. That is why I was pleased that the Select Committee consistently recommended that the National Audit Office should become the BBC’s principal auditor so that it had a chance to go in there and apply its forensic skills to see the ways in which the BBC is using its resources. That is the right approach to take The creation of the new unitary board recognises something that most people had already concluded for themselves—that the BBC Trust was not fit for purpose and not fulfilling its role correctly, and that we could do better. In particular, the dismissal of George Entwistle—which is, in effect, what happened—showed us that in a moment of crisis the chairman of the trust becomes, in effect, the chairman of the BBC, and steps in and intervenes in the way that the chairman of a board would do. That demonstrates that the BBC Trust was too conflicted to be an external regulator of the BBC as well as its principal champion and the representative of the licence fee payer’s interests The creation of the new unitary board is the right way forward. It also answers a question that has been asked consistently at Select Committee sittings over the past year, namely: who does the director-general report to? It was not particularly clear who he reported to, but now it is clear that he has independence of operation and his executive team to support him while he remains editor-in-chief, but that, post-transmission, he is answerable to a unitary board of the BBC. That is a much clearer management structure and it is welcome The other main proposal worth examining—the hon. Member for Garston and Halewood has mentioned this—is that relating to BBC Studios. The BBC clearly wants, and has got behind, that big initiative. I agree with the director-general’s analysis that making the studios more competitive and open will help make the BBC more creative and enable it to attract and hang on to some of the best creative talents who work not just on screen, but on taking ideas through to production and transmission. If the BBC recognises something that almost all other players in the TV market recognise, it is that the future of television for broadcasters lies not just in the growth of audiences and the transmission of content, but in owning and creating programmes and formats that can be exported around the world. The future of BBC revenues and its future creative success will very much be tied to the success of the BBC Studios proposals Alongside the BBC having that freedom to compete, independent production companies will also have more freedom to compete to produce programmes at the BBC. The former Secretary of State, my right hon. Friend the Member for Maldon, was probably pivotal in pushing that forward; it certainly chimes with the things that he has said about the BBC in the past. The quotas for the BBC to commission out to independents remain, but much more of its commissioning work will now be liberalised, including that for repeat series. The BBC was not prepared to concede on that before, but it complements what it wants out of the studios proposals. I think that we may look back, not just during the review period, but during the next charter renewal, and say that the creative freedom and openness resulting from the studios proposal was one of the most significant reforms of the charter renewal process I want to pick up on one or two other points that have been made, particularly on the recommendations of the most recent Select Committee report. We support the decision to run a proper process for the appointment of the chairman of the new BBC unitary board. As other Members have said, it is a different and unique position, and there should have been a proper process to determine the best person. The Committee did not feel that Rona Fairhead should be excluded from that process. She has chosen to exclude herself, but nevertheless there should have been a proper process. The first chairman of the unitary board will hold a pivotal position and play a central role in appointing some of the independent directors, and it is vital that we have total confidence in the way in which they are appointed I also concur with the views of other Members—although there may be a difference of opinion on this—on the question of BBC salaries. The BBC had already conceded that executives who are paid more than the Prime Minister should declare their pay. It had also already accepted the principle of very highly paid on-screen performers and talent having their incomes declared, but it set the benchmark at the level of the director-general. Licence fee payers do not understand why on-screen talent is seen as being so different from off-screen talent, with one having to declare their salary and the other not. That layer of transparency was absolutely the right thing to do, and I am pleased to see it in the final draft of the charter.