§ Sir A. HOLBROOK(by Private Notice) asked the Postmaster-General whether any and what protests have been received by him against the proposal of the British Broadcasting Corporation to publish a weekly newspaper; whether, in view of the terms of its Charter and having regard to the fact that the Corporation is State protected and subsidised and not subject to the payment of Income Tax, he proposes to take any action to veto the proposal?
§ Sir W. MITCHELL-THOMSONI received protests against the proposed publication of the "Listener" from associations representative of the Press. The matters in dispute have since been amicably settled in conference between the British Broadcasting Corporation and the interests affected, and the last part of the question does not therefore arise. I ought to add, however, that I must not be taken as admitting the assumptions contained therein.
§ Sir A. HOLBROOKIs the right hon. Gentleman aware that the British Broadcasting Corporation are making a profit of £200,000 a year out of the newspaper and publishing business, that they pay no Income Tax on this, and that this is diverting advertisements from newspapers which are paying tax, and can he say what is done with the money?
§ Sir W. MITCHELL-THOMSONAs I have said, I am not prepared to admit the hon. and gallant Member's assumptions. The assumption contained in the last part of his question is that the Corporation is a State-subsidised service, but it would be more true to say that the State is subsidised by the British Broadcasting Corporation. The assumption is also made that the Corporation is not liable for assessment to Income Tax on its ascertained profits, but I am certainly not prepared, on behalf of the Treasury, to admit that.
§ Mr. HORE-BELISHAIn reference to the right hon. Gentleman's statement that this matter has now been satisfactorily settled, will he say, in view of the public importance of the matter, what the settlement is?
§ Sir W. MITCHELL-THOMSONI think the terms have already been published.
§ Lieut.-Commander KENWORTHYMay I ask the Prime Minister how he came to receive a deputation of the interested parties after the Postmaster-General had refused to receive them?
§ The PRIME MINISTER (Mr. Baldwin)In the same way that I always receive a courteous reply to a courteous request.
§ Lieut.-Commander KENWORTHYIs it the practice of the right hon. Gentleman to go over the heads of his trusted Ministers?
§ The PRIME MINISTERI never feel any hesitation in doing so if I think it desirable.
§ Mr. HORE-BELISHADo we understand from the Postmaster-General's statement this afternoon that the opposition of the newspapers to this new periodical has now been withdrawn?
§ Sir W. MITCHELL-THOMSONI understand that an agreed settlement was reached at the conference.
Viscountess ASTORIs it not a fact that the newspapers really did not understand what the situation was when they began to cry out? Is it not really the truth that they did not understand?