HC Deb 16 July 1980 vol 988 cc1465-8
1. Mr. Neubert

asked the Lord Privy Seal whether he has plans to increase the amount of grant for the activities of the British Council above what has been already announced for the next three years; and if he will make a statement.

The Minister of State, Foreign and Commonwealth Office (Mr. Peter Blaker)

As I told my hon. Friend the Member for Norfolk, North-West (Mr. Brocklebank-Fowler) on 3 July, the Government have agreed that the council's "core budget", which consists of grants from the Foreign and Commonwealth Office and the Overseas Development Administration and aid administration payments, should not fall below £38 million, at 1979 survey prices. The core budget will be gradually reduced until that level is reached by 1983–84. This represents an improvement in that year, and intervening years, which cannot be exactly quantified, but the new arrangements will give the council greater certainty in its planning.

Mr. Neubert

Will my hon. Friend accept that his answer will give some encouragement to those who, like myself, believe that the British Council has been called upon to make excessive economies following a decision that failed to recognise the importance of a service that makes friends, influences people and boosts British exports? Will he ensure that the British Council is able to match the efforts of our major competitors, such as the French and the Germans, who are in no doubt about the value of national cultures abroad?

Mr. Blaker

I gladly join my hon. Friend in paying tribute to the work of the British Council and its value for the country. The arrangements that I have explained represent a considerable improvement both financially and in terms of certainty. I am glad to say that they have been welcomed by the council.

Mr. Robert Hughes

Is the hon. Gentleman aware that there is considerable disquiet in many areas of the world that the British Council is not given enough money to do its job? Is he aware that I wrote recently to his right hon. Friend enclosing a letter from a Zambian business man who made it clear that, in his view, the Government were not doing their duty by the British Council?

Mr. Blaker

I think that the letter may have been written before the new arrangements were announced. While the British Council was unhappy with the previous arrangements, it has welcomed the new ones.

Mr. Charles Morrison

With a record of achievement by the British Council that is probably unparalleled among Government agencies and, indeed, among most Governments, does my hon. Friend agree that every effort should be made to prevent the reduction of assistance to the British Council?

Mr. Blaker

We have recently given this matter further thought. I agree with my hon. Friend, as I agreed with my hon. Friend the Member for Romford (Mr. Neubert), about the value of the work of the British Council, but the Government took the view that in the present circumstances it could not be exempted from the Governmen's spending cuts. I believe that when my hon. Friend has studied the new arrangements he will find that they represent a considerable improvement on what was previously planned.

Mr. Ioan Evans

Is not the British Council doing a tremendous amount of work for international understanding and co-operation? People who come to this country often return home to take up high office in their Governments. How can the Government say that they cannot afford this expenditure when, yesterday, they announced the expenditure of £9 billion on arms?

Mr. Blaker

That is a different matter, which was discussed by my right hon. Friend yesterday. We are satisfied that the British Council will remain an effective, vigorous and capable organ for spreading British interests abroad.

Mr. Kershaw

Is my hon. Friend aware that the alteration to a cut that was to some extent unexpected and, I believe, to some extent unintended, will do a great deal for the morale of the British Council personnel and enable them to continue their good work?

Mr. Blaker

I agree with my hon. Friend. One of the benefits of the new arrangements is that they should greatly reduce the need for any redundancies—if, indeed, over the coming three years there have to be any redundancies at all.

Mr. Shore

Will the Minister now make clear what has so far not been clear? What is to be the size of the cut in the budget of the British Council? What was the budget programmed to be in this year, and what will be the revised figure for 1983–84? Ought he not to think a good deal further about a whole range of policies which would help this country—through overseas broadcasting services, the British Council, our diplomatic presence and help to overseas students—to increase its influence abroad?

Mr. Blaker

The right hon. Gentleman will find the previously planned figures in a written answer that I gave to his hon. Friend the Member for Merthyr Tydfil (Mr. Rowlands) on 22 April. It is not possible to quantify the new figures exactly, but they could mean an improvement of about £3 million by 1983–84.

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