www.musicweek.com
06.07.12MusicWeek 3
SHADOW CULTURE SECRETARY SLAMS GOVERNMENT’S WILLINGNESS TO PLEASE GOOGLE
Harman flirts with tax breaks offer for labels
BPI AGM BY TOM PAKINKIS
H
arriet Harman has slammed the Coalition Government for failing
to protect creative industries – suggesting that “No.10 can’t stand up to Google”. Speaking at the BPI’s 2012
Annual General Meeting, Harman pushed for more investment in music businesses as well as entertaining the idea of tax breaks for the industry. “The banks have got to start
lending to viable music businesses, including small businesses,” she told the AGM attendees at BAFTA on Tuesday. “81% of firms in your
industry employ fewer than five people. They need to be able to get finance. “[Project] Merlin figures
show banks are still failing to meet their lending targets,” Harman added, pointing to the agreement struck in February between government and four major UK banks with an aim to promote lending to small businesses among other things. “It’s not good enough.” “The Government has got to
sort this out and get the banks lending,” she continued. “We must do what we can to incentivise investment. We do that for manufacturing - through tax reliefs - we do it for film, we’re going to do it for video games. “Like manufacturing and like
film we need to ensure that we reward investment by and in the music industry,” she said. “I was very interested to see the BPI’s idea of a corporation tax break for higher investment levels in A&R to help develop new talent. And I’d like to see your view on how it would work, and deliver, in practice.” Harman also criticised the
Department for Culture Media and Sport, which she claimed ‘lacked focus’. “The Culture Secretary says
“I believe the tide is with us. The digital economy is now too significant in all of our lives, and too important to the country’s future prosperity, to be somehow exempted from the normal rules of a civilised society” GEOFF TAYLOR, BPI
framework is just not good enough,” she said. Harman suggested that an
music in schools is important,” she said. “But without even consulting him, the Education Secretary cuts music in school by £16 million a year. “The Culture
“We must incentivise
investment. I was very interested to see the BPI’s idea of a
Secretary says philanthropy is essential for the future of the arts, but the Chancellor in his Budget slaps on a philanthropy tax and the Culture Secretary was the last to know. “As well as the lack of
corporation tax break for higher investment levels in A&R. I’d like to see more detail on how it would work in practice.” HARRIET HARMAN
want the government to solve their problems with Jeremy Hunt by abolishing his Department altogether, as the rumours have it.” The health and
development of the music industry should become the concern of a number of government departments,
coherence across government, there’s a lack of focus within DCMS. So, we haven’t seen the much promised Green Paper,” Harman added. Jeremy Hunt’s
Communications Green Paper was scrapped in June, but the DCMS said at the time that it intends to host five communications policy seminars this year before a Communications White Paper is introduced in 2013. Harman did, however, see the
DCMS playing an important role in the future, saying, “I don’t
Harman added, specifying the Treasury, the Department for Business, Innovation and Skill and finally the Department for Education. The shadow Deputy Prime
Minister outlined five key areas in Labour’s strategy for jobs and growth in the music industry, namely; access to finance and a fair competitive market, exports and inward investment, a regional strategy for growth, young people and skills and intellectual property. The sharpest words perhaps
came when Harman discussed the systems currently in place to protect intellectual property: “The way it stands today, the
“IP czar” similar to the US’ Intellectual Property Enforcement Coordinator appointed by President Obama may be necessary in the UK. Ultimately, however, the
finger was pointed at familiar players when it came to combating piracy effectively. “The Government has got to
get a move on and stop dragging its feet to strike the right balance between the content industries, including music, and the technology companies to create a climate where innovation can flourish while copyright is protected,” said Harman. “Google and other
technology companies need to do more with the content creators to better signpost legitimate search and block illegal sites,” she added. “And I want to see the
Government getting on with implementing Labour’s Digital Economy Act. “While I’m pleased that
Ofcom published their code for consultation last week it will still be 2014 before any warning letters are sent out. “The Government has failed to show leadership,” was
Harman’s verdict. “Despite them being pressed on this, including by us, they still haven’t implemented the Digital Economy Act under a clear timetable lead and set a deadline for agreement in the industry for site blocking, search engine responsibility and digital advertising made it clear that if there’s no agreement, this will be legislated for in the Communications Bill. “I understand there’s a lot of
controversy around about how the notification letters should be worded, and the ISPs and consumer groups have concerns about people being cut off.” Harman argued, “There is a common sense way, which means people don’t have their services cut off immediately and makes sure piracy does not go on unchecked. Letters should inform, and warn. “And all of this should have
been set out in the Green Paper, which we were promised at the beginning of this year and now won’t appear. “Number 10 can’t stand up to
Google and Jeremy Hunt is incapable of standing up to Number 10.” BPI chairman Tony
Wadsworth also wondered why the music industry has had to struggle for recognition at Number 10, saying that the government’s “love affair with big technology and big telecoms has cast a shadow over our homegrown creative success and it’s time to redress the balance.” Meanwhile BPI chief
executive Geoff Taylor flagged up some sectors of the internet economy where the trade association was met with cooperation, singling out good progress being made towards a code of practice with the Internet Advertising Bureau and the National Fraud Intelligence Bureau. “I believe the tide is with us,”
he said. “The digital economy is now too significant in all of our lives, and too important to the country’s future prosperity, to be somehow exempted from the normal rules of a civilised society. “Now the Government must
not fail in its clear duty to match words with action, and unlock the extraordinary potential of this country’s creativity.”
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60