NATIONAL EXHIBITION CENTRE (Hansard, 12 February 1969)

§ Mr. Edward Milne (Blyth)

There is general agreement that Britain needs a national exhibition centre. However, controversy has raged long and wide about the type of centre required and particularly about the raising of the necessary finance; how it should be raised and from where it should come.

On 14th June, 1968, the Board of Trade issued a statement indicating the progress that had been made on the subject to that date. It pointed out that in August 1967 it had been announced by the President of the Board of Trade that, following the decision that the Crystal Palace site was unsuitable for a national exhibition centre, a committee under the chairmanship of Lord Brown had been set up to study the problems of finding an alternative site and of establishing an exhibition centre. That committee, which consisted of representatives of the Confederation of British Industry, the British National Export Council, the Association of British Chambers of Commerce, the Greater London Council and representatives drawn from interested Government Departments, drew attention to a possible site in the London Borough of Hillingdon.

I do not wish to concentrate too closely on the question of a site. I will confine myself to the principles involved, the need for speed and the value to Britain of siting an exhibition centre at an early date. As the Board of Trade statement pointed out: The next step is to solve the problem of finance as the Government cannot in the light of the general economic situation undertake on its own the considerable capital expenditure involved. 1492 I will come to that later. First, however, I wish to draw attention to the history of the subject from the point of view of exhibition sites in Britain.

British industry has been seeking the best way of exhibiting its wares since the closing of the British Industries Fair in 1957. Many trade associations and firms are dissatisfied with the existing facilities for mounting trade fairs in this country. The F.B.I. report of 1959 stated that the existing facilities in London were out of date and compared unfavourably with those abroad. At the same time, the general conclusion was reached that trade fairs could and would play an increasingly important rôle in the promotion of exports, particularly in Europe. It is that aspect of the exhibition centre that I particularly want to deal with tonight.

In 1962, as the Board of Trade said, the new exhibition centre at Crystal Palace was financially viable. Something like £12 million to £15 million was considered necessary and would have been raised by the Government, the L.C.C. and private enterprise in equal shares. For a variety of reasons, Crystal Palace fell out of favour, one of the reasons being the unsuitability of the access roads. Then a committee under Lord Brown suggested Northolt as a possible site, with reasonable proximity to London Airport and good rail connections.

One must bear in mind that there were powerful pressures against the need for an exhibition centre and, no doubt, the Board of Trade was pressurised. Arguments are advanced against the idea of an exhibition centre. There is a school of thought—I hope we shall hear more about this later—that jet transport and technical journals have drastically altered the situation and have in some way diminished the need for exhibition centres. It is felt that specialist buyers have all the access they need to learn what is available in the markets in which they operate and where they can obtain the articles they require.

This is in some ways a follow-up attitude of the then President of the Board of Trade, who is now, safely or otherwise, in another place, and who said that he would not be justified in supporting the organisation of a general international exhibition in this country. It is a pity that this attitude was taken, for the British Industries Fair, which had an 1493 honourable history and did a tremendous amount of good for the export trade and the prestige of this country, was a good and cheap scheme not only for larger firms in the Castle Bromwich area but for many of the smaller firms in this country.

What is even more important, and what we have to consider against the background of the traditions of the British Industries Fair, is that a new exhibition centre must have these same standards. The British Industries Fair provided a very careful check, and I have been told that firms were proud that their products were good enough for that fair. Exporters and customers, too, recognised this fact. Indeed, particularly in the consumer field, we could do with a check of this kind at the moment, because the rigid standards set for goods and firms at the British Industries Fair would not only enhance our reputation abroad and improve our export figures, but would also be the means of giving the home consumer a higher standard of product.

It is therefore to be deplored that Britain has lagged so far behind the Continent in the last few decades in providing exhibition facilities comparable with the best in Europe. Powerful voices have been raised in this matter. At the end of January the Chairman of the British Export Council asked Lord Brown to give the exhibition project "a good hard shove", and the Director-General of the same Export Council said that Britain must be able to offer the world's finest exhibition facilities in or close to London. Nothing else will do. I hope that these words will be heeded—and heeded quickly. It therefore seems to me, after weighing up the arguments on the matter, that the question—Do we need on exhibition centre?—has been overwhelmingly answered in the affirmative.

That brings me to the point of what form should that centre take. I have talked with firms in my constituency and throughout the northern region about this matter—to people who have had and still have considerable experience of trade fairs and exhibitions and of selling abroad From talks which I have had with firms and their representatives, it seems imperative that the building for an exhibition centre or fair should be similar in style to that of the Hanover Trade Fair.

1494 Confusion exists in many quarters, and there are different viewpoints on the type of permanent site which would be required, but I am told on reliable authority that to the planners an exhibition site simply means a permanent building which can be used from time to time for various trade exhibitions. That simply is not good enough. I hope that we shall not get this type of exhibition centre for reasons of financial stringency. It is no solution to the problem which we are discussing.

In my view the word "permanent" should mean not only a permanent exhibition building but also a permanent exhibition of products which are available to the trade throughout the year. I will try to give some idea of the layout which would make that possible. Firms in the region moving into London could use this permanent exhibition of products in order to meet overseas buyers. It would be possible with a site of this description and a layout of this description, when overseas buyers are in London, for a firm to move from Newcastle, Edinburgh, Liverpool or Birmingham into the London site in order to meet the overseas buyers at the showrooms where they have this permanent exhibition.

Although I have not discussed this matter with the Export Council, I have discussed it with firms in my constituency and elsewhere. It is felt, I believe, by the Export Council and by many prominent industrialists that the exhibition should be in two sections. The layout which seems to be generally envisaged is that on such a site could be built three or four large halls suitable for exhibitions such as the Motor Show, the Dairy Show, the Ideal Homes Exhibition and other similar ventures. Surrounding the main hall should be a series of buildings of seven to ten storeys high, on a corridor principle, with showrooms on either side, similar to Halle 18 at the Hanover Fair. Variations in space in this part of the building would enable different types of trade to exhibit. Each of the halls in this series of buildings could be specified and categorised on the type of product sold. The various trade associations could move into sections of a building of this description and there would be a permanent exhibition centred on the main hall. For the success of a centre of this kind, it would be necessary 1495 for both British and overseas firms to take part, because this should be an international fair, although primarily and predominantly British in its set-up.

A vital aspect of the whole idea of an international fair is its timing. Here again we can take advantage from the timing of other major fairs in Europe. We could arrange for a British Fair to avoid any of the dates of other international fairs and draw advantage to a British fair by this arrangement. I will not list the dates of the various established fairs in Frankfurt, Leipzig, Milan and other places, but I suggest from a look at the list of fairs in Europe during the year the proposed British fair should be in early February. World trade buyers who regularly attend the fairs I have mentioned would find a 10 days fair in Britain at the end of February ideal timing for a variety of reasons, not least the availability of accommodation and transport in the London area.

Earlier today my right hon. Friend the President of the Board of Trade introduced a Bill on tourism. This represents one of the invisible exports which could flow from a fair of this kind. I do not need in a short debate of this kind, even if I had the time, to enumerate the advantages of invisible exports which would flow from a venture of this nature. Deciding on an international centre now—this is why speed is imperative—would mean that firms already participating in exhibitions and fairs could have a complete image very soon of what the centre sets out to be. They could then lay plans accordingly.

Talking with representatives of firms which have participated in existing exhibitions, one gets the impression of a great deal of waste of capital involved in ventures of this kind. One knows of various fairs held throughout the country at which stalls have to be erected and cleared away and of fairs being held in unsuitable surroundings. The advantages of a permanent fair are obvious. Already there is sufficient amount of this type of activity within trade to make the fullest possible use of buildings of this kind. It is also essential that from the start the Government should have a stake in such a centre and the Board of Trade and the British National Export Council should be well 1496 represented on an overall committee. In many ways, it would be easier to raise finance than might appear at first glance.

I noticed in The Times the bank aid is being sought and merchant bankers are being approached on this matter. I hope that the door will not be closed to this type of venture because I think financing of an exhibition of this kind can be done in other ways. I do not ignore this factor but it should not be the dominant one. British Weeks for instance, some of which have been reasonably successful, are coming to an end. I do not have at my disposal details about what has been spent on British Weeks, but this sort of expenditure could be directed towards investment in the centre.

Investment by the Government is a vital matter. The Government have staked the whole of their future and that of the country on winning the balance of payments battle. I do not need to demonstrate exactly what a fair could do in this direction. As with the Hanover Fair, firms could sign a lease for seven years, thus guaranteeing the rent and the firm's participation in the fair for that period. To a large extent the fairs could be self-perpetuating. Friends have told me of their visits to Hanover Fair in the mid-fifties when they saw the potential particularly against the sad background of the decline of the British Industries Fair. They said how intrigued they were with the financial methods adopted by the fair authorities and the German Government. The success and history of this fair show how, Phoenixlike, it rose out of the rubble of postwar Europe and, further, how it was assisted to do so by British finance. Today it is acknowledged to be one of the largest and most successful fairs in the world.

Many of my friends in the North-East may express surprise at my advocacy of a southern centre, but the advantage of an exhibition centre in the South is obvious and is accepted by those in the Northern Region. I am sure that this would be of enormous assistance and benefit to the firms now settled in and around the Blyth constituency. When one examines, for instance, the excellent Buyer's Guide for 1969, which has been issued today by the North-East Development Council, and which lists about 1497 4,000 firms with national and international repute, one realises the value to be gained from such a venture by those of us in the Northern Region if only we can get on with the job at the centre and if we can get the Government Department concerned, along with industry and along with the other Government Departments, to get a move on in this matter. We cannot wait until 1972. It would also take many costly showrooms out of London and reduce the costs for many businesses. Time is not on our side. I hope, not only that my hon. Friend will give us a satisfactory answer, but that the Department will get moving and will treat this matter with the urgency that it deserves.

§ The Parliamentary Secretary to the Board of Trade (Mrs. Gwyneth Dunwoody)

My hon. Friend the Member for Blyth (Mr. Milne) has raised a matter on which the Government have given considerable thought. Hon. Members will have read no doubt the recommendation of the Estimates Committee in its Sixth Report that The Board of Trade should produce estimates for a national exhibition centre building at Northolt as soon as possible, and should take the earliest subsequent opportunity to discuss with industry how the necessary funds could be raised for the project and the observations of my right hon. Friend the President of the Board of Trade in the White Paper presented to the House.

From the earliest times trade fairs have played an increasingly important rôle as places where the products of many industries and of many countries may be seen, inspected, compared and bought. The Government's policy of supporting British firms taking part in collective group displays at important trade fairs overseas emphasises the encouragement which the Government give to British exporters to use these trade fairs as a feature of their marketing activities.

Hon. Members will, I am sure, be interested to know that in 1968 5,300 firms were supported by the Board of Trade at 239 events in 38 countries. There is also the considerable support, both financial and direct, which the Government provide in organising British weeks and special store promotions of British goods in cities abroad. These are ways in which the products of this 1498 country can be taken to the buyers. The growth of these activities over recent years is evidence of their value to our exporters.

The other side of the coin is getting foreign buyers to come to see the products in this country. Many of the trade fairs which take place here are internationally renowned, and many thousands of buyers come to see them. Information about these trade fairs is published in a four-language booklet prepared by the Board of Trade and widely distributed by the Government's commercial representatives abroad.

There is, in addition, the Missions Scheme administered for the Government by the British National Export Council. Under this scheme considerable financial assistance is given towards the cost of bringing selected parties of foreign businessmen here to see the goods we have to offer. And, in the reverse direction, we assist with the cost of sending groups of British businessmen abroad to seek out export business.

There is no doubt that considerable export business results from these arrangements, but there is still a gap to be filled. We recognise that exhibition facilities are not sufficient to accommodate all the trade fairs, particularly those featuring large industrial equipment, and of the size such as are now held in some European exhibition centres. This is a situation which we should all like to remedy as quickly as possible. Industry has rightly and repeatedly emphasised the need, but no means have yet been found by which the undoubted interest in firms, in trade associations and in Chambers of Commerce can be translated into a form of tangible support.

A few years ago, as my hon. Friend said, when the proposal to build an exhibition centre at the Crystal Palace was under consideration, it had been supposed that industry would contribute to the costs, with the Government and the Greater London Council. This proposal failed, first because the Government were advised that the terms of the trusteeship of the land made it impossible for it to be used as a security for a debenture, and then because of serious problems with regard to costs and, particularly, road access.

1499 In these circumstances, my right hon. Friend the President of the Board of Trade decided that an alternative suitable site must be sought. The result was a site in the vicinity of Northolt which, in the view of the experts, is particularly suitable for a national exhibition centre. It has convenient access to Central London both by road and by rail, and it is not far from London Airport. Moreover, it is conveniently placed from the point of view of bringing in exhibits, particularly heavy and bulky industrial products, from the Midlands and the North.

I welcome the unselfish attitude of my hon. Friend towards the placing of such a centre in the South. However, the problem remains one of finance, and it is a large problem. We had hoped that some contribution towards the capital costs would have been provided by industry, but in this we have been disappointed. My right hon. Friend the President of the Board of Trade has recently had discussions with the Confederation of British Industry concerning proposals which have been made by a private developer; these proposals are now being considered. The Government hope that some way will be found to bring about this desirable addition to exhibition premises in this country.

My hon. Friend suggested that, perhaps, jet transport had altered the need for specialist exhibitions, yet he later mentioned the Hanover Fair. He knows that other large exhibition centres have been developed at Frankfurt, Cologne, Paris and Brussels, to mention only a few. Their success and growth is evidence not only of the important part which they play in promoting trade, and particularly the export trade of the host country, but also of the valuable and 1500 substantial foreign exchange earnings which result from the participation of foreign exhibitors and the influx of foreign visitors to these events. I have no doubt that a national exhibition centre comparable with those centres in Europe which have been developed since the last war is not beyond our resources, given the wholehearted support which their industry has given to these exhibitions in those countries.

In present circumstances, when the Government must consider very carefully any proposals involving the use of public funds, the evidence of a substantial and firm commitment of support by those sectors of industry which urge upon the Government the need for a national exhibition centre is vital to any further progress.

My hon. Friend has tonight outlined a most interesting and highly detailed scheme, on which he has obviously spent a great deal of time and study. I know that he will forgive me if I do not follow him too closely into a detailed discussion of the type of centre which he has in mind, but I assure him sincerely that we in the Board of Trade are well aware of the difficulties which are faced by many of our exhibitors, who frequently would like to welcome as hosts trade exhibitors to this country but are unable to do so. We shall not just note what my hon. Friend has said. We shall actively consider it, because he has given us tonight a detailed examination of an interesting development. We are at one. What we must now do is find a means of accomplishing what, I am sure, we are both aiming for in the very near future.