Select Committee on Culture, Media and Sport Minutes of Evidence


Memorandum submitted by the Theatres Trust

INTRODUCTION

  1.  The Theatres Trust welcomes this opportunity to submit evidence to the inquiry. We are particularly pleased that your terms of reference include specific mention of theatre buildings. Theatre, which is the art form for which Britain is best known throughout the world, does to a large extent rely on the existence of theatre buildings. Those buildings have a crucial role in providing appropriate conditions to encourage new audiences and to retain existing ones, and also because of the way in which a well-designed theatre building can enhance the essential process of communication between performers and their audiences. It is also no less important that those who work in theatres should enjoy decent conditions that enable them to operate more effectively.

  2.  We have three main causes of concern. Firstly there is a continuing need to maintain the protection given to theatre buildings under the planning system, particularly at a time when it is undergoing radical changes. Secondly there is an urgent need to establish an effective programme of capital investment in improving existing theatre buildings. Finally, we believe that it is essential to consider the needs of theatre buildings of all types as a whole, whether they be in the commercial sector, local authority owned, amateur run or in the independent and largely subsidised sector.

  By way of further introduction, members may find it useful to know a little more about the Trust.

THE THEATRES TRUST—PROTECTING OUR THEATRESAND MAKING THEM BETTER

  3.  The Theatres Trust was established by Acts of Parliament in 1976 and 1978 to protect theatre buildings. Although it is classified by the DCMS as an advisory NDPB and the Secretary of State appoints its 15 Trustees, it is effectively an independent body and the small grant that it now receives from the Government via English Heritage only covers around one-seventh of its operating costs. However an undertaking was given to Parliament when the Trust was set up that all planning authorities would be required to consult the Trust on any planning applications that affect land on which there is a theatre. This requirement extends to all theatres, old and new, listed or unlisted, and regardless of whether the buildings are still in use.

  4.  Today the Trust's role ranges far more widely. It provides advice on theatre building related matters to owners, operators, campaigning groups and to expert bodies, and it also runs an information service. The Trust is emphatically not a preservation body, for it has always recognised that theatre buildings need to adapt and to be renewed and replaced. It works to promote the cause of theatre buildings generally. In effect we see ourselves as a bridge between theatre operators and the worlds of property, planning and architecture. Our Trustees, who give freely of their time, include experienced theatre professionals and performers, architects, property and planning experts, and parliamentarians. Unusually, the Trust's remit covers the whole of the UK.

THE CONTINUING NEED FOR PROTECTION

  5.  A hundred years ago, putting up a theatre was a good way of making money. Promoters could afford to buy key sites, even in central London, confident that the returns on their investment would enable them to rebuild or improve when necessary. Today, theatre buildings are valuable only if the land on which they stand can be redeveloped for some other purpose. Over 85% of the theatres that stood at the beginning of the first World War had been lost by the 1970s, torn down or irrevocably altered, to be replaced by other more lucrative uses. Theatre operation is a fickle business and if it had been left to market forces alone there would probably now be no theatre buildings left anywhere. There are very few theatre buildings that have not had to close through financial difficulties or for some other reason at one time or another. Fortunately there is now a system of protection that prevents theatres that have closed from immediately being torn down and their sites redeveloped.

  6.  Over the last 50 years a significant proportion of theatre buildings have been taken into public ownership of one form or another. But many others are still owned and operated by the private sector. In some instances the freeholds are still held by organisations who have no direct interest in the theatre business and who may well simply be waiting for the opportunity to realise a capital gain and redevelop the site. During the last 10 years we have seen this process at The Westminster Theatre and The Mermaid here in London, and elsewhere at such places as Scarborough's Royal Opera House and Doncaster's Grand Theatre.

  7.  It is no part of the Trusts' brief to suggest that every theatre that ever stood or may now lie empty or in another use should be saved and reopened. But it is only thanks to the protection given by successive governments and local planning authorities, and the work of the Trust and countless individuals and organisations across the UK, such as the Save London's Theatres Campaign, that buildings like The Lyceum, Dominion and Playhouse in London's West End are now back in use. No fewer than 15 of the theatres in London's West End including the Dominion, Shaftesbury, and Lyceum have been earmarked for demolition since 1950, whilst six others were actually lost. Outside central London theatres like Sheffield's Lyceum, Blackpool's Grand and The Hackney Empire have all faced destruction at one time or another. The list of "sleeping beauties" that have been revived now totals some three dozen. We are aware of many others that are still sleeping, some of which could undoubtedly still serve a useful theatrical purpose. Yet others may well be capable of beneficial use for other purposes.

  8.  Many a theatre that is in use today has been "saved" by a period in a "soft use" like bingo or as a cinema, where the capital values did not rise appreciably. But once consent has been given for a change of use to a pub or restaurant the land value will have increased to the extent that any return to theatre use would be out of the question. It does seem to us that when the potential for theatre use on a site is lost and the land value increases, there a case for an appropriate payment of part of that increase in value to help create or improve other existing theatre buildings in the vicinity. Some local authorities have planning policies which seek to protect theatre use and even require theatres (and other cultural facilities) to be replaced in such circumstances.

  9.  An important part of the Trust's work at the moment is to help persuade planning authorities to retain or strengthen such policies in their new Local Development Frameworks. Unfortunately in spite of our best efforts and, it would appear, those of the DCMS, we have been unable to persuade the ODPM to include appropriate reference to cultural activity in the guidance documents that have recently been issued to planning authorities. In the meantime we are updating the Advice Note that we will be issuing to all planning authorities and which sets out recommended policies to help protect and enhance cultural provision.

  10.  One key part of the protection given to theatres is the fact that theatres in use are regarded as "sui generis" in planning terms, so that any change of use needs planning consent. It is often this that triggers the requirement to consult the Trust in its role as statutory consultee. We were relieved to learn that the ODPM has decided not to change the "sui generis" status given to theatres, and that the Trust is to retain its status as a statutory consultee with clearer guidance being given to local authorities on when it is appropriate to consult us.

  11.  The other thing that has undoubtedly saved many theatre buildings is the fact that a significant proportion of them are now listed buildings. Listing is however a double-edged sword for it is widely perceived to make it harder to effect physical alterations. In our experience English Heritage and most planning authorities take a commendably pragmatic view when considering carefully thought-out proposals for changes that are necessary to enable a building to continue in use. Nor should it be imagined that the act of listing a building precludes its demolition—in our experience 10 years of wilful neglect by a determined landlord can all too easily bring a once fine building to the point that demolition is the only realistic course of action. Unfortunately the sanctions available to a local authority, which may ultimately include the power of compulsory purchase, carry such cost and risks that few are prepared to go down that route. This is something we hope the Government's reviews of heritage protection and of the powers of compulsory purchase will eventually remedy.

  12.  In practice the major part of the Trust's work involves helping theatres that are still in use. Our latest Annual Report has already been circulated to members of the Committee, and copies of chapters Two and Three, which illustrate the range of our work, are enclosed with this Memorandum. It is perhaps worth noting in this context that the obligation on planning authorities to consult the Trust relates to any development that affects a theatre, rather than simply alterations to or a change of use of the theatre building itself. Increasingly as city centres are intensely redeveloped we find that works adjacent to a theatre are inadvertently affecting such essential aspects as car parking and vehicle access for loading, or precluding a theatre's own scope for redevelopment. When money is increasingly needed to help improve existing theatre buildings we are always keen for local authorities to consider demanding financial contributions, ideally by way of a Section 106 agreement with the developers concerned. But for this to be enforceable, theatres will clearly have to be identified as a priority in a Council's new Local Development Framework.

  13.  In essence, although we may have the best system for protecting theatre buildings and the potential for theatre use in the world, it will still be of little benefit unless it is backed with appropriate financial resources.

THE NEED FOR INCREASED CAPITAL INVESTMENT

  14.  In 1959 and 1961 two Arts Council Reports for the Chancellor of the Exchequer concluded that even then it was no longer realistic for the UK to rely on the continued availability of a network of commercially owned theatre buildings. They recommended that key buildings (including some in London's West End) should be taken into public ownership, and that some protection was also necessary through the planning system. The Council also called for a programme of public investment in theatre buildings, not only to modernise what already existed, but also to create new ones. Apart from a mini-boom in London's West End from 1924 to 1937, theatre building across the UK declined sharply after 1914, although many of the new large cinemas were given stage facilities. There had been no significant theatre building anywhere since 1939.

  15.  The first new theatres started to open from around 1957 and this process was considerably boosted by the creation of the Arts Council's Housing The Arts scheme which ran from 1965 until 1990. Many former commercial theatres were acquired by local authorities, sometimes with help from the Arts Council, and then either directly run or let out to independent charitable trusts. Capital funding from the Arts Council was augmented with money from local authorities, public appeals and, later, from development agencies and Europe. Later still, a scheme funded jointly by the Government and the Wolfson Foundation made useful progress in some quarters. At the request of the then government, The Theatres Trust commissioned a Fabric Study on a selected number of theatres in England. This was published in 1992 and showed that despite the considerable investment since the 1960s more than 40% of theatre buildings were felt to be in only fair to poor condition, expenditure and maintenance were far too low, and a significant number of buildings were nor being regularly surveyed. Interestingly, many of the buildings that had been put up in the 1970s came in for the greatest criticism, possibly because they had been subjected to cutbacks in standards to fit within tight budgets during a period of high inflation.

  16.  By the time the National Lottery came on stream 10 years ago there was indeed a serious backlog of work needing to be done to bring theatre buildings across the UK up to appropriate standards. That need also extended to museums and galleries, as well as to other aspects of the built and natural heritage and to sports facilities.

  17.  This is probably not the place to attempt a detailed analysis of the record of the National Lottery in relation to theatre buildings. A huge amount has been achieved, and Committee members may be interested to see the article written by the Trust's Director in the December issue of our magazine, Theatres. A copy is appended to this. In passing, it is worth noting that there is in Britain a very considerable expertise in theatre design and planning with our theatre consultants in demand all over the world. The Association of British Theatre Technicians has done much to raise awareness and set standards. Unfortunately after about five years Arts Council England decided to reduce dramatically the proportion of its lottery budget allocated to theatre and arts building schemes. Although there are some significant projects where commitments have been made and which are still in the pipeline, the number and size of new commitments to maintain or enhance existing theatre buildings has now dropped to a trickle. The most recent, and apparently final, set of announcements from the Arts Council a year ago revealed only three awards for existing theatre buildings, and that the 33 recipients were outnumbered four to one by 132 who had been rejected. The total demand for grants had amounted to £255 million, four times the amount eventually made available. In theory that amounted to an average "spend" on capital projects of all types of just over £20 million per year. Apart from five schemes (which included one theatre) which received a maximum award of £5 million, the average allocation for the others was only £1.28 million.

  18.  Were it not for the fact that the Heritage Lottery Fund has been able to support the heritage related aspects of some theatre schemes it is unlikely that buildings like The Hackney Empire or The London Coliseum would have been refurbished. The grade 1 listed Theatre Royals at Richmond, Yorkshire and Bury St Edmunds in Suffolk were among many that failed to obtain any capital funding from the Arts Council, but these two were able to succeed with the HLF. Many others including London's Old Vic and Wilton's Music Hall also seem likely to have to go down the heritage route if they are to stand any prospect of securing lottery funding. These are all important listed buildings, and it is indeed fortunate that there is a significant heritage context in the works that need to be done, but there is no reason why the HLF should be expected to pay for essential works backstage or to create new facilities. In any case the HLF has maintained a full capital programme and is continuing its task of renovating and improving the UK's stock of museum and gallery buildings. Without accurate figures it is only possible to generalise, but the HLF is clearly devoting significantly more money to improving museum and gallery buildings than Arts Council England is to arts buildings. However both the HLF and the Arts Council are now understandably wary of making big new commitments of any kind, until they know whether they will still be in business as lottery distributors after 2009 when the current licences expire.

  19.  In the meantime we at the Trust undertook a simple survey of 200 theatre buildings across the UK to assess their perceived needs. Of the 160 responses, 42% claim already to have received a lottery capital award, but 76% stated they wished to make a lottery bid during the next five years, and only 34% reckoned their buildings were in good condition. Some 72% receive regular complaints about heating, ventilation and air conditioning, 42% receive complaints about seating, and 37% on toilet provision. Apart from improvements to public facilities, much needs to be done to meet the technical demands of modern production methods and to keep up with the changing requirements of health and safety regulations. It is also important to have smaller and more flexible spaces in which to present new work.

  20.  On a very rough basis we have calculated that around £1,000 million still needs to be spent to bring the UK's stock of theatre buildings of all types (including those in London's West End) to an appropriate standard. We are hoping to do more work and to refine our survey over the coming months. Suffice it to say that at the current rate of lottery expenditure and assuming matching funds from other sources, it could well take 100 years to remedy this backlog. This of course assumes no further deterioration in the condition of the buildings concerned and no inflation over that period!

  21.  One area where the needs have been more closely examined and where significant progress is being made is on the 40 or so commercially owned theatres in London's West End. The Trust's Report Act Now! published in October 2003 followed a two year study working closely with the Society of London Theatre and its members. Our findings and the recommendation that a total of £250 million at 2003 prices would need to be spent over a 15 year period has received support from the media, the public, and across the political spectrum. The Trust is now working closely with the Society and the DCMS to secure a solution and we are in discussion with potential funding partners. Ideally a solution would recognise the important role played by these buildings, not only in terms of the arts but also their heritage interest and their considerable benefit to the UK's economy. We have seen and fully endorse the evidence that SOLT/TMA has given to you on the follow-up to the Act Now! Report as well as on the wider economic benefit of the theatre industry.

  22.  As far as helping to meet the on-going capital needs of theatre buildings across the rest of the UK is concerned, the solution seems to us commendably simple. The Government should immediately give the arts and heritage lottery distributors the assurances that they need, namely that they will still be in business after 2009, and it should request the Arts Council to reinstate its capital programme at a realistic level which will enable it to address the needs of theatres and other arts buildings of all types regardless of whether or not they happen to be run by bodies in the subsidised sector.

A LEVEL PLAYING FIELD

  23.  An important part of our Act Now! study was to commission an independent assessment of the economics of theatre ownership (as opposed to management or the production of shows). This demonstrated that the returns on capital invested in theatre buildings today simply do not justify in commercial terms the sort of investment now needed for improvements and renewal. It is now well-known that the lottery grant given to upgrade the subsidised 400 seat Royal Court Theatre exceeded the profits made by all four commercial playhouses on Shaftesbury Avenue since the second World War. The fact that Sir Cameron Mackintosh has just spent £8 million of his own personal fortune on updating the Prince of Wales Theatre and promises to do more elsewhere represents an unparalled act of personal generosity, but in commercial terms it will hardly have increased the capital value of the theatres concerned. Fortunately he did not have to rely on theatre ownership to make his fortune, which resulted from his perseverance and success as a commercial producer mainly in musical theatre.

  24.  Outside the West End, commercial ownership and operation of theatre buildings is now mainly in the hands of a couple of major operators who derive some economies of scale in consequence. Where commercial operators run a theatre on behalf of a local authority owner they usually receive a fee or a subsidy for doing so. Those theatres that are directly run by local authorities are invariably subsidised, as of course are those that produce their own work—indeed those producing companies often receive subsidy towards their operational costs from the Arts Council, as well as from local sources.

  25.  The level of subsidy available for what are generally known as receiving theatres varies widely. In one city where the major theatre is owned and run by commercial organisation it may receive no revenue subsidy at all (although some of the visiting shows may well have been subsidised at source) and will never have had any external help with capital works. A comparable theatre owned and run by its local authority could well be receiving a revenue subsidy of up to £1 million per annum, and have been extensively modernised with substantial help from the National Lottery and other public sources. It is hardly surprising therefore that facilities for audiences and working conditions can vary enormously from theatre to theatre. In Portsmouth the 1,200 seat Kings Theatre at Southsea, hardly changed since it was opened in 1907, is actually owned by the City Council which provides a minimal subsidy so that the operation of the building relies on a tiny handful of paid staff augmented by a huge input of volunteer labour. Because it is not seen as a priority by the Arts Council it is unlikely ever to receive lottery funding. Similarly, we were told that because the Theatre Royal in Norwich, which does operate most successfully on a fully professional basis and a minimal local authority subsidy, is not regarded as a priority for the Arts Council and is thus also unable to secure capital funding through the Regional Development Agency. Nevertheless theatres such as these provide essential links in the network of places where subsidised touring shows can be seen by audiences outside London.

  26.  Nor should one forget that theatres in the UK include the important amateur sector. The 95 members of The Little Theatre Guild, who own and run their own theatre buildings, and the members of the National Operatic and Dramatic Association provide a significant contribution to the theatrical life of the UK as a whole. Theatre going for many other members of the public may simply amount to an annual trip to the pantomime put on by a commercial producer at the local civic theatre, or perhaps taking in a summer show. We would not for one moment suggest that such activities should be subsidised by an Arts Council on a revenue basis. However, as the Secretary of State has suggested that lottery money is not Government money, but the people's money, it does seem strange that it should be denied to those theatre buildings that are used and enjoyed by the majority of the public. The need for capital investment and improvements and for proper working conditions is no less simply because a theatre building happens to be commercially or municipally owned, or providing popular entertainment. At the risk of extending the comparison with the way in which lottery funding has been applied to museums and galleries, it is as if the 1,000 museums in the independent sector had been denied capital support from the Heritage Lottery.

  27.  In the longer term it may well be inevitable that more theatre buildings will have to be transferred to the public sector if they are to survive. Some will be seen to be redundant or beyond economic repair. New ones will need to be created that do not echo the social habits or theatrical conventions of the Victorian/Edwardian era. It will be even more essential that ways be found to entice new audiences into those buildings that already exist and that we cannot afford to replace, as well as to the shiny new ones. Above all, the supply and demand for theatre buildings and their physical conditions does need to be addressed across the board and regardless of any historical accidents of ownership or of the current pattern of management.

  Attachments: (not printed)

  1.  Chapters 2 and 3 from the Annual Report 2003-04.

  2.  Extract from Theatres Magazine 2004 "Ten Years Down, Fifteen to Go".

January 2005





 
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