HC Deb 10 November 1949 vol 469 cc1380-1
22. Mr. Blackburn

asked the President of the Board of Trade what steps he is taking to avert the threatened collapse of the British film-producing industry.

Mr. H. Wilson

My hon. Friend is presumably referring to the position disclosed on 7th November by the publication of reports and accounts with respect to one leading organisation engaged in film production. While I very much regret the embarrassments which have overtaken Mr. Rank's companies—a group which has in the past made a unique contribution to the high reputation of British films generally—I cannot agree that these developments confront us with any "threatened collapse of the British film producing industry." The various steps which the Government have taken to support the industry are well known to the House, and I shall, of course, continue to watch the situation closely.

Mr. Blackburn

Is my right hon. Friend aware that something like 70 per cent. of the films being shown in this country are American films, and will he bear in mind that whatever happens we do not want any more American films imported than are being imported at present and that we are not prepared, either in direct dollars or in the accumulation of sterling balances, to continue to pay out even on the scale on which we have been paying out?

Mr. Wilson

The attitude of the Government on that question has been made very fully known in previous statements, but I adhere to what I said before, that the particular events of the past week do not in our view involve any threatened collapse of British film production.

Mr. Langford-Holt

Would not the right hon. Gentleman agree that if the Rank organisation is compelled to cease production next June that will, in fact, be a threatened collapse?

Mr. Wilson

Over the last year or two, of course, the Rank organisation has very considerably reduced its rate of production, but most, if not all, of the producers who were previously producing for the Rank organisation are now producing for other organisations or are being financed or aided directly by the National Film Finance Corporation.

Mr. M. Philips Price

Would my right hon. Friend consider not giving any further State money to the film industry until there has been an inquiry into the whole position?

Mr. Wilson

I have recently received the report of the Gater Committee on production costs in the industry, which, I think, is one of the inquiries that my hon. Friend has in mind. Certainly, money which is being currently lent by the National Film Finance Corporation for the purpose of production is lent only with very careful safeguards as to its use.

Mr. Austin

In the light of the answer of my right hon. Friend, can the House take it that there is no possibility of further reducing the 45 per cent. film quota?

Mr. Wilson

The quota is 40 per cent. It was approved by the House and continues until 30th September next year.