§ 2.46 p.m.
§ Lord Donoughue asked Her Majesty's Government:
§ What is their present and future policy towards maintaining financial support for the arts.
§ Baroness TrumpingtonMy Lords, this Government remain fully committed to ensuring that artistic activity in Britain can flourish. Details of future funding levels will be settled in the light of the Statement to be made by my right honourable friend the Chancellor of the Exchequer on 30th November.
§ Lord DonoughueMy Lords, I thank the noble Baroness for that Answer. However, does she recall that the Conservatives' general election manifesto in 1992 stated—she will find the relevant passage on page 45 in words slightly different from "flourish"—that the Government will maintain support for the arts? Is she further aware that at this moment at Westminster there is a mass demonstration of representatives of all parts of the arts who are deeply concerned that financial support for the arts is about to be cut? Can she assure them through the House that financial support will be maintained as promised? Or is that just another election promise to be broken?
§ Baroness TrumpingtonMy Lords, certainly not. The Government have amply demonstrated their commitment to the arts. Funding for the Arts Council this year is over 40 per cent. higher in real terms than in 1979–80. But no sector can be immune from the current necessary public expenditure restraint. I am rather surprised that the noble Lord is not attending the meeting that is taking place this afternoon.
§ Lord RentonMy Lords, I welcome the assurance that my noble friend has given. Is she aware, however, that it is reported today that the Arts Council is to be given £5 million less than it receives at present? Is there any substance in that report? If so, why is it being done?
§ Baroness TrumpingtonMy Lords, the Government have announced planning figures one year ahead. It is true that a £4.7 million, or 2 per cent., cut for the Arts Council was announced, but we must await the Chancellor of the Exchequer's Statement.
§ Lord Jenkins of PutneyMy Lords, can the noble Baroness say whether the remark that she has just made may be regarded as hopeful? Is she really telling us that the £5 million cut will not, in fact, take place? Can we take that as an indication that we are worrying too much? What is the position? Will she tell us?
§ Baroness TrumpingtonMy Lords, I do not know what the noble Lord assumes. I seldom know what the noble Lord assumes. The planning figure that was announced last year, which I mentioned a moment ago, indicates a 2 per cent. reduction for the Arts Council. But there will always be calls for more money for the arts, as for any area of public expenditure.
§ Lord EatwellMy Lords, is the Minister aware that a few years ago a study by the Policy Studies Institute demonstrated that investment in the arts earned a substantial surplus on the balance of payments for Britain? In those circumstances, will the Government undertake to comrnission an independent study to discover what is the rate of return to Britain on investment in the arts? Does she agree that it would be irrational to reduce investment in the arts if that investment yields the substantial balance of payments return that the PSI identified?
§ Baroness TrumpingtonMy Lords, I agree with the noble Lord that arts spending helps to enhance the nation's quality of life arid benefits the economy, not least through encouraging tourism. As I said, the Government will continue to fund the arts, the level of funding to be determined in the context of overall public expenditure planning.
§ Lord StrabolgiMy Lords, are the Government aware that the Arts Council is being obliged to cut off the grant for two of London's four great orchestras, although the saving would be only half of 1 per cent. of total arts expenditure? Would it not be better, in these days of stringency and government cuts, if the Arts Council were to cut its own administrative costs which are now running at the high figure of 9 per cent.?
§ Baroness TrumpingtonMy Lords, the Government are doing their best to cut administrative costs. Ministers maintain an arm's length relationship with the Arts Council and do not intervene in matters of artistic judgment. It is therefore for the Arts Council to determine its own artistic policies and priorities and, consequently, the allocation of funding to individual arts organisations.
§ Lord Hutchinson of LullingtonMy Lords, will the Government's policy for the arts in the future contain some remuneration for the chairman of the Arts Council? Does the Minister agree that the job now takes at least three or four days' work a week and that the only person who can possibly fulfil that task is a tycoon or retired tycoon?
§ Baroness TrumpingtonMy Lords, that is entirely a matter for my right honourable friend. My only hope is that if it were to be a tycoon it would be an artistic tycoon.
§ Viscount Montgomery of AlameinMy Lords, is my noble friend aware of the major contribution to our national life made by the commercial theatre, a sector that receives no subsidy and is supported entirely by people who are known as angels? I must declare an interest in that I am one of those people, surprising as it may seem.
§ Baroness TrumpingtonMy Lords, that is a new one. The rapid growth of business sponsorship in recent years, encouraged by the Government's business sponsorship incentive scheme, means that last year an additional £57.5 million went to the arts. That, for my money, is not to be sneezed at.