§ 10. Mr. Timothy Smithasked the Minister for Trade if he will estimate the annual value of the illegal trade in video cassettes.
§ Mr. SproatAs my right hon. Friend the Member for Bournemouth, West (Sir J. Eden) said in moving his own Bill last Friday, the trade and the British Videogram Association estimate the total retail value of pirate video cassettes sold in the United Kingdom at about £100 million a year. This represents, in terms of numbers of pre-recorded video tapes, about 65 per cent. of the market.
§ Mr. SmithIs my hon. Friend aware that one company alone—Thorn-EMI—on its own reckoning is losing between £15 million and £20 million of business a year? In the light of that information, was not the Second Reading of the Copyright (Amendment) Bill on Friday most welcome? Will the Government do all they can to ensure that the Bill has a speedy passage through both Houses of Parliament?
§ Mr. SproatYes. The House, the trade and the whole country owe my right hon. Friend the Member for 651 Bournemouth, West a considerable debt. In general, the Government very much support the approach that my right hon. Friend adopted in that Bill.
§ Mr. StrawAlthough I accept what the Minister said about the need for the strongest possible enforcement of the law against the pirating of video cassettes, does accept that in the longer term the trade can assist itself by ensuring that on the whole, pre-recorded items are sold on video discs, which cannot be copied, rather than on video cassettes?
§ Mr. SproatIn this area I am afraid that making any judgment about the swift advance of technology is extremely rash. That may be the position at the moment, although I cannot confirm it or otherwise. But we have to be aware that in few other areas is technology moving as fast as it is here. However, the hon. Gentleman's comments will be taken into consideration.
§ Mr. StokesIs my hon. Friend aware that last Friday I visited one of the largest distributors of video cassettes in the country, which is situated in my constituency? This new firm was started by four young men aged about 25. It has a turnover of about £4 million and now employs nearly 50 people. Is my hon. Friend aware that if it were not for this piracy and illegal action it could employ many more than that number?
§ Mr. SproatMy hon. Friend makes an extremely important point. Indeed, I can add to his experience. I understand that in the last two years alone video cassettes have given employment to about 20,000 people. This is just the kind of advanced technology that the House and the country most want to support.
§ Mr. John FraserAs the Minister knows, the Opposition supported the Bill last Friday. What discussions have there been between Trade Ministers, the Home Office and the Metropolitan Police about enforcing the law? As the House recognises, the trade in illegal video cassettes is not far removed from other forms of organised crime.
§ Mr. SproatThe hon. Gentleman is correct. We have been having close discussions with the Home Office, and these will be reflected in our approach to the Bill introduced by my right hon. Friend the Member for Bournemouth, West when it reaches its Committee stage.